Tmerno
When it rains heavily, do you worry about forgetting to unplug an appliance? And when you go on vacation, do you feel nervous about having to leave your home unattended for a long period of time? Normal. Taking care of your family’s assets is something everyone worries about and, thankfully, peace of mind comes at a very fair price. After all, the cost of home insurance is really small, considering the benefits it provides.
If you are interested in keeping your home protected and want to avoid worries about the risk of incidents, discover the advantages of having a good policy.
What is home insurance and what is it for?
Home insurance serves to protect a person’s most important asset — financial and/or emotional —: their home.
Such protection concerns not only the physical structure, but, depending on the policy taken out, much of what is inside the property (household appliances, valuables, etc.).
Therefore, coverage goes far beyond protection against natural phenomena, such as floods and strong winds. It extends to theft of property, electrical and hydraulic damage, fires, civil liability and much more.
Not to mention the convenience of 24-hour assistance services and, often, the discounts offered by so-called benefits clubs.
What are the main residential Coverages offered?
In addition to basic coverage for damage caused by fire, lightning and explosion (which must be offered by insurance companies), the main Coverages are for robbery or qualified theft of the property and for electrical damage resulting from short circuits, abnormal voltage variations, etc.
Coverage for gales (which cause structural damage to roofs), along with hail and smoke, has also been increasingly sought after.
Another highly requested coverage is for repairs to hydraulic systems (and the structure of the property affected), after damage caused by leaks in pipes and plumbing (for water distribution and sewage collection).
Finally, there is also the so-called civil liability coverage, which ensures that, for example, if your pet attacks someone, you are reimbursed for all assistance (medical expenses and medication) provided.
What is the average price of home insurance?
If you think that home insurance is calculated in the same way as car insurance, forget it! Its cost is, proportionally, much lower — even more so when you consider all the guarantees, assistance and advantages it offers.
Although it varies greatly from insurer to insurer, a basic policy is calculated based on the value of the property, type of use (permanent or for vacation), region where it is located and an estimate of the cost of the goods contained therein.
As there may be additional coverage, according to the needs of each resident, the extra guarantees requested (such as theft, civil liability, electrical damage, among others) are calculated separately.
24-hour assistance services (such as locksmiths, electricians, plumbers, technicians for repairing household appliances and other professionals) are generally included in the policy value.
For houses or townhouses in regular use, on average, the policy does not usually exceed 0.4% of the insured values (calculated based on the investment required to recover the assets in the event of a loss).
This cost (which can be divided monthly) is considered really fair — especially since it concerns the family’s peace of mind.
In apartments in gated communities, where there is less chance of break-ins, robberies and thefts, thanks to the existence of a concierge, surveillance cameras and security guards, the value of the policy decreases even further.
Furthermore, it is important to mention that the insured can declare only the amount they are interested in insuring — which is great for those who rent and only want to protect their belongings.
What should guide you when choosing a good value for money insurance?
Choosing the best insurance policy should not be based solely on the low price. You need to be sure that, in the event of an accident, all your needs (damage repair, replacement of assets, etc.) will be met.
To define additional coverage, prioritize your family’s needs. Consulting a professional can help ensure that nothing important is left without coverage or, on the other hand, avoid taking out something you don’t need.
Finally, in addition to the list of Coverages and non-guaranteed assets described in the contract, you must know the amounts of the deductibles (limits in the event of a claim) and whether there are special conditions for being entitled to assistance services.
What are the advantages of taking out home insurance?
If a problem occurs, home insurance is infinitely cheaper than spending on home maintenance and repairs yourself, and it also saves the insured from stressful situations that take time to resolve.
On the other hand, if nothing happens, with each renewal customers usually receive progressive bonuses on the value of the premium (even if they change residence or insurance company).
These discounts range from 5% in the first year to up to 30% in the fifth consecutive year without any claims being recorded.
In addition to the coverage defined for each family’s needs, the 24-hour assistance services, which are frequently requested, do not have any additional costs. If you calculate them carefully, they can generate significant savings for policyholders.
Customers also benefit from advantage clubs and discounts on parking, cinemas, shows, theaters, stores, pet shops, snack bars, restaurants, gyms, travel packages, laundries and much more.
