Saturday, January 05, 2008

Home Contents Insurance: Taking Care Of Your Assets

By John Dale

Our homes are precious. Insuring the bricks and mortar seesm second nature to us, not least because our homes represent a major investment and a lot of very hard work to pay for it. We often forget however, just how much we have invested in turning a house into a home with our personal possessions and the cost of furnishing a home for our comfort.

The average cost of replacing the contents of a house is in excess of thirty thousand pounds which may seem like a lot, but just consider what your buildings insurance policy does not cover. Carpets for instance, are not covered by a buildings insurance policy yet they are the first things that are damaged in the event of a flood. Just consider the value of all the electronic equipment in your home from digital televisions, computers, stereos and home entertainment systems and you start to see how quickly the bill will mount if we ever were in a position where we have to replace everything.

Home and content insurance covers our houses and flats and the contents in it. It is financially the right thing to opt for home contents insurance. The reason behind this is the fact that not everything is covered by the buildings insurance policy. Consider the time where roof of your house has been damaged during a storm. The buildings insurance policy will replace the roof but will not pay for the cost of fittings. The home contents policy will make this all possible at a relative affordable rate.

Although, it is not possible to replace the priceless heirlooms but home content insurance can help you in shouldering the financial burden. Home content insurance makes people realize that they need to take security measures to protect them from loss and in case of theft then help in recovering them.

When considering a home content insurance you need to consider how much coverage they are going to provide for instance cash is not covered by most but those who does it is under strict conditions. Some policies will not cover equipments outside the house whilst some does. Understand their terms and policies such as if they provide coverage outside the house or not for instance insurance for a bicycle. In addition, you should also consider which of the companies provide cheap home content insurance.

It is very important that you consider different features and options of different policies before making a decision. You must read the terms and conditions of the policy very carefully to make sure that you know exactly what you are signing up for. Even experts find it a difficult task so never hesitate to ask questions.

Contents cover nevertheless, tends to be reasonably cheap and the cover provided offers a very good deal to the policy holder. Setting up a contents policy is frequently done at the same time as insuring the building but this is not always the case. It also pays to check whether combining a policy with the buildings insurance is the best deal for you financially so be prepared to shop around.

Contents insurance should never be ignored. The cost of replacing our possessions is much greater than we may at first sight think. It pays to make sure you have adequate cover or risk suffering the loss of the posessions that really make a difference in our lives. Peace of mind cannot have a price when we are dealing with the very things that we have worked so hard to provide for ourselves and our family, so take some time to make sure you have the cover you need.

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