With household insurance you not only insure your possessions against burglary and theft, but also against the elements. This would cover
you if your house burnt down, got flooded or even storm damage.
You cannot take out household insurance to cover only specific items, such as your television, dvd player and sound system. Virtually
all household insurance is provided on the basis of"new for old". In other words, the insurance company pays out what it would cost you to
replace the insured item at current prices rather than what it originally cost you to buy it.
Different options are available to reduce the premium when you purchase household insurance. You can decide to exclude burglary/theft
cover, increase the excess amount you pay during a claim, and so forth. Factors that also have an influence on your insurance premium are
the area you live in, the construction of the walls and roofs, the security on the premises, the excess you take out and your claim free
years.
Ask the following questions when you compare insurance quotes:
- Are there any restrictions?
- Are there additional benefits offered by the company?
- What is the excess you have to pay in case of a claim?
- Are there any future premium increases planned?
- What is included in the policy?
- What is excluded from the policy?
- Will the company guarantee your premium?
- Consider the reputation of the company for paying claims.
|
