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How to find the top home and content insurance policies

How to find the top home and content insurance policies

You’ve finally bought your home, but you can’t get too cosy just yet as it’s not covered by insurance. You need to decide which is the best home and contents insurance Australian insurers can offer you. You want to make sure to get the best cover for your house and everything of value inside it. If you’re wondering what differentiates the top-rated home and contents insurance policies from other policies? They’re usually more precise in listing what their policy covers and what it doesn’t.

You’ll usually find the top policies give you clear information about the insured events or the incidents which can cause damage that’s covered by the policy. You can also tell which policies are from the more reliable home insurance companies by the specific information they have about your neighbourhood. During your home insurance research, you should consider the ease with which you can contact the insurer. You may need to urgently file an insurance claim at some point, or even update your policy if necessary and being able to contact them easily will help.

What should I look for in the top home and contents insurance policies?

You’ll have to make several choices when selecting a suitable home and contents insurance policy, which makes accessing information about the policy critical. When you start comparing home and contents insurance quotes, consider looking at the following details.

Full rebuilding vs sum insured coverage for your home: One of the more challenging questions to answer is how much home and contents insurance do you need? You need to consider whether you want to purchase a policy that covers the total cost of rebuilding your home if it’s destroyed by a disaster or one that offers a fixed sum that may, in the end, not be enough. Opting for a policy that covers the full cost is often more expensive in terms of premiums. Still, many Aussies often accept a policy that covers a fixed, pre-agreed sum, only to discover they’re underinsured when they need the money.

Maximum number and type of adverse events covered: You may already know what kind of incidents are likely to occur in your neighbourhood, whether its natural disasters or human-origin events. You could be living close to the bush at risk of a bushfire, or in a high crime zone at risk of theft or vandalism. You should make sure that your policy covers the maximum number of events, preferably without you needing to pay additional fees for it. For instance, most home and contents policies may cover storm damage but require you to pay an additional fee to cover flood damage.

Accidental damage coverage: We can all be clumsy at times, and we know that all sorts of accidents happen. Ideally, your home and contents insurance should offer you coverage for any valuables that get accidentally damaged. Remember to look at the value covered, since you might need an additional policy if a particular object is valued well above what it’s covered for by your policy.

Exclusions, and optional extra coverage: Knowing your policy’s coverage is only half the puzzle. You also need to know what’s not covered and what you may need to pay extra for. Suppose your home is hit by lightning which causes a power surge. You’ll want to know if your policy will cover damage to any home appliances from such a surge. This information should be available upfront, and if not, you can check the insurer’s Product Disclosure Statement (PDS). If you live in an area that is prone to a particular type of disaster, it may be worthwhile to see if you can add extra cover to your policy.

Emergency assistance: One of the unpleasant aspects of a disaster is the need to find shelter while arranging the necessary repairs or renovations to your home. Check if your policy will cover the cost of temporary accommodation as well as part of the income lost during this time.

Why should I use a home insurance calculator?

Using a home insurance calculator isn’t only about finding the cheapest home and contents insurance policy. When calculating the cost of your home and contents insurance, there are multiple factors that insurers consider. Some of these factors include the value of your home, the possessions you keep in it, your postcode and the kinds of incidents you want to cover. A home insurance calculator can help you understand the difference such factors make to the cost of the policy.

Once you have an idea of the possible costs of a home and contents insurance policy, you can then compare quotes from different insurers. You can then find out which one is most suitable in terms of the coverage offered as well as the cost of the policy.

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