How To Compare Home Insurance Policies?

Everyone has their image of an ideal home. It can be either a multiple bedroom house in a high-rise or a bungalow away from the hustle-bustle of the city. With this in mind, you tireless work to find the dream house you always wanted. After putting down your hard-earned money to buy the most desirable house, one customizes it to their liking by furnishing it with the different appliances and gadgets. But during this process, one tends to forget to avail protection for their dream house.

You may wonder how does one protect a physical structure? We have the answer to it – home insurance.

So why should you avail a home insurance plan?

The natural dangers that are familiar to mankind are not restricted to particular regions. Storms, earthquakes, cyclones, hurricanes and more have existed since the beginning of time, and there has been mass destruction of life-form as well as property. Some other perils are the work of man like fires, burglary, robberies and more. Sometimes, even mishaps damage your house. A home insurance policy comes in handy to protect against these unfortunate and untimely events.

Let us learn about the different types of householder policy or home insurance that one can buy –

There are myriad options from which you can select your insurance policy. Knowing the types of home insurance plans will assist you in choosing an appropriate plan. Whether you are a homeowner or accommodate on a rental basis, you must be aware of these plans.

Standard Fire and Allied Perils

A standard fire and allied perils policy offers protection to your home against the loss caused due to natural as well as man-made perils like fire, floods, storms, earthquakes, strikes, riots, explosions and landslides.

Theft & Burglary cover

As the name suggests, this type of policy insures against thefts and burglary at your home. It is essential to include your valuables in your home insurance plan.

While these are some basic plans that can be bought, you avail different add-ons like temporary resettlement cover, loss of rent cover, key and lock replacement cover and more to secure your house. Make sure to use a home insurance premium calculator to compare the various policies that you can use to secure your home.

How does one compare home insurance policies?

While comparing the different alternatives may be confusing, but you can look for the points mentioned below when you opt for an insurance cover for your home.

Premiums charged

Premium is the amount you pay to the insurer to offer coverage for your home. A variety of factors determine the amount of premium to be charged like the square footage, age of the building and more. Comparing the premiums among different insurers will help you get broader coverage at the best price.

Deductibles to your policy

Home insurance works by way of reimbursement. A deductible is that component of your insurance policy which the insured has to pay before being reimbursed for the damages or repairs. Deductibles influence your premium amounts.

Coverage offered

Lastly, you must compare the coverage that is offered under your policy. Insurance companies have different inclusions and exclusions to their plans. A thorough reading of the policy document will help in deciding which plan suits you.

To conclude, be prudent and wise and opt for a suitable home insurance plan. After all, your home is too precious not to insure and protect.