Home Insurance – are you getting the best deal?

Home Insurance – are you getting the best deal?

Insurance.  Contents, Building and Landlords.  Not the most exciting purchase you’re ever likely to make we know. But before you search out the cheapest option, or just allow your existing policies to renew, there are a couple of things worth considering. Let’s start with a quick recap on what we’re talking about:

Buildings Insurance 

Compulsory when you take out a mortgage, this covers the cost of repairing damage to the structure and permanent fixtures and fittings of your home.  So, your roof, walls and windows.  Also bathroom and kitchen fittings.  Buildings Insurance covers you for anything from a roof leak to totally rebuilding your home.

Contents Insurance

Home contents insurance covers you against loss, theft or damage to your personal and home possessions.

Landlords Insurance

Insurance for landlords with Buy to Let properties.  This can incorporate additional cover for things such as rental income and malicious damage should it be required.

One size does not fit all

At Mortgage Confidence we understand that Buildings and Contents Insurance can easily be bought online, via price comparison websites.  But not all insurance is created equally, and some policies just don’t provide the level of cover that people need.

Mortgage and Insurance Adviser, Jo Jingree, said: “Securing comprehensive insurance does not necessarily mean expensive premiums.  It’s all about finding the right policy for your circumstances and sometimes, a little bit of additional industry knowledge – especially if you’re reasonably new to arranging insurance – can be helpful.”

Recommendations to keep in mind

After many years providing mortgage and insurance advice to customers, Jo has a few recommendations for you to bear in mind when insuring your home:

  • When it comes to Buildings Insurance it’s worth noting that the rebuild cost of your home is not based on its market value. In London, for example, it may be cheaper to rebuild than to buy.  But the figure will need to allow for professional fees such as demolition, site clearance etc.
  • With Contents Insurance, it’s very important not to be under insured. If the insurance company believes you’ve underestimated the value of your possessions, then you may find that they don’t pay out any claim in full (it’s a process called averaging).
  • There are a range of additional options available with your home insurance that may or may not be applicable to your circumstances. These include cover for possessions outside of the home, legal expenses, home emergencies and even freezer contents.
  • Your Buildings insurance needs to be in place from exchange of contracts. At this point you are legally liable to complete the sale and liability for the property is yours.  So, if it’s damaged before you move in then any claim will go through your insurance.
  • Always opt for a policy that has at least a 4-star Defaqto rating*

Options available at Mortgage Confidence

At Mortgage Confidence we organise insurance for our mortgage customers free of charge and we’re happy to extend that service to anyone looking to put home insurance in place or renew an existing policy.

We take customers through all the options to make sure they get the cover that they need to match their circumstances and budget.  That includes helping them to determine how the level of contents insurance they require.

Jo added: “People can be inclined to assess how much contents insurance they need by doing a quick mental tot up of all the expensive items in their homes.  But, as I like to remind them, they need to think about paying for everything they’d lose if someone took their house and turned it upside down so everything fell out!”

With the array of options and extras on offer we’re also able to make sure that our customers are comparing like with like when it comes to quotes.

We provide policies through PaymentShield – one of the UK’s leading insurance administrators and distributors.  And we only provide 5 star Defaqto* rated insurance.

Jo summed it up: ”Your home is often your biggest asset so it’s really worth taking the time to make sure that it’s properly safeguarded.”

If you’d like to discuss home insurance then feel free to contact Jo.  Or you can call on 07742 228302.

*Defaqto is a service that compares financial products. It then gives them a star rating based on the features and benefits they offer, with 5 stars being the top rating.

Please be aware that by clicking on to some of the above links you are leaving Mortgage Confidence Ltd website. Please note that Mortgage Confidence Ltd nor HL Partnership Limited are responsible for the accuracy of the information contained within the linked site(s) accessible from this page.