For many people, home insurance is one of the smaller bills they face each year but as premiums are on the rise again, it’s time to look at how to get cheaper deals. Most insurance companies will offer two types: buildings insurance and contents insurance. The former looks at how much your actual home is worth, and how much it would cost to rebuild from scratch, with the premiums made from these estimates. The contents insurance covers the items in your home and is a bit harder to pin down as it relies on truthfulness on your behalf as to what you own and how much you think it’s worth. In both cases, there’s plenty of opportunity to reduce your insurance quotes this year.
The biggest problem with home insurance is that the insurer won’t send someone out to check out the facts that you give them, so they make a lot of basic assumptions to make the process easier. For buildings insurance, this means that they assume your house is of a certain age and make based on county records, so it’s worth having your mortgage documents to hand to check these.
For contents insurance, they will assume that your home has a basic level of security and locks, so you need to let them know if you have additional security measures such as a private alarm company or snaplocks as these will reduce the premiums. They’ll also want to know how often the house is left unattended, what your working pattern is and whether you’ve been broken into before. Whilst these questions seem intrusive, answering them truthfully will help get you cheap home insurance.
Insuring Individual Items
The next way in which insurance companies can increase your premiums is by giving you more cover than you actually need. Unless you have high value items (ones that are worth over £1,000 each), you’ll find that a basic cover of £10,000 should cover the cost of replacing the items in your home that are likely to be stolen or damaged, such as a TV, laptop or sound system.
However, if you have particular items, such as jewlery or a high end electronic product, you’ll find it cheaper to get this insured separately rather than pushing up the total contents cover on your home. You’ll need to provide proof of ownership for each item (to avoid fraud), but doing this will reduce your premium as well as giving you peace of mind in the case of a burglary.
Finally, getting cheap home insurance is becoming easier as the market grows and the number of insurance comparison websites increases. No longer is it enough for a insurer to send you a renewal policy and expect you to accept whatever premium charges, as the first thing you should do on receipt of this letter is get online and find alternative quotes. Ring your insurer up and tell them you found a cheaper quote from Prestige home insurance, for example, and the salesperson will be under instructions to offer you discounts to keep your custom.
Make sure you get a quote from us to find out if we can offer you cheap home insurance utilising the menu above.