Bussiness

How to make your home insurance fully comprehensive?

A home is not just made of bricks and beams, but also of hopes and dreams. American author and politician William J. Bennett said that the home is a “refuge against all kinds of storms.” To make sure our roof protects us from storms of all kinds, it’s our duty to protect our homes as well. However, the ways of protecting one’s shelter have undergone a sea of ​​changes over time.

From deciding on a location to using the best material and installing the latest security systems, we put a lot of thought into securing our homes. However, the work does not end there. The final step is to make sure your home is protected even if there is a mishap. A home insurance policy can provide this ultimate security for your home. This offers the security shield in case of unexpected damage and loss to the structure or its contents.

Also read: More Expensive Mortgage Loans, Properties Marginally Hit 2022 Homebuying Affordability: Report

Why Home Insurance?

Having a home insurance policy is essential because it provides protection for your home against natural calamities such as floods, earthquakes, lightning, volcanic eruptions, storms, landslides, etc. Not only that, it also offers protection against fires, which can happen anywhere. Therefore, if your home is damaged during any of the listed natural disasters, your homeowners insurance plan would cover the repairs.

In addition to covering the structure of the home against any type of damage, various home insurance policies also cover valuables that you may have in your home, such as furniture, large appliances, etc. You can also improve your coverage by opting for the available supplements to protect your home more comprehensively.

Also read: Budget 2023: How To Pay Zero Income Tax On Income Of Rs 10 Lakh And Above – Details

Supplements to make your home insurance more complete

Coverages for additional protection against theft and theft: Opting for this coverage protects you against the loss of valuables in the event of robbery or theft at your home, which are normally not covered by standard home insurance. According to data from the National Crime Record Office, more than 6 lakh property crimes are committed in a year, including robbery and theft. While standard home insurance protects your home against damage that can occur due to a break-in, it may not cover the loss of valuable items such as gold, electronic equipment, etc. Therefore, you can also opt for additional coverages for valuables and jewelry. for portable electronics. Let’s look at both separately:

Gold and jewelry complement: Jewelry is not only often the most valuable item in an Indian household, but it is also the most common to be stolen during a robbery or burglary. Most home insurance plans offer an additional option that enhances your coverage to include loss of jewelry and other items made of gold, silver, or any other precious metal. A gold and jewelery add-on can provide you with coverage of up to Rs 5 lakh for gold and other jewelery that is detailed in the policy.

Also read: Insurance sector needs capital of Rs 50 billion a year: Irdai

Portable Electronics Complement: You can also choose additional coverage for portable electronic devices that are typically not covered by standard home insurance plans. For example, while a television or refrigerator might be covered under a standard policy, a laptop or phone would prefer not to be covered. However, these days, laptops and phones can cost more than one lakh rupees each. And because they’re so easy to carry without arousing suspicion, they’re on the thieves’ radar more than any other item short of cash or gold. In the event of theft or theft, the loss of these items alone can amount to several lakh rupees. Therefore, it is advisable to purchase the additional coverage for portable electronics that covers you against these losses.

Alternative hosting plugin: Let’s say your home is damaged in a natural calamity or a man-made disaster. Since you had a home insurance plan, you don’t need to worry about the cost of repairs as the insurance company would take care of that. However, during this traumatic time, he will need to find another place to live until he finishes the repairs. This could increase his agony. However, by opting for the alternative accommodation add-on with your home insurance policy, you can ensure that he can simply move into alternative rental accommodation that would be paid for by the insurer. In essence, the insurance provider would pay for both the cost of repairing his home and finding replacement housing for him during that time.

New cover for old: This is a more useful supplemental coverage to enhance your home insurance that kicks in if there are valuable items in your home such as fixtures; electronics and furniture are damaged or lost in a mishap. By opting for this feature, you would ensure that the insurer replaces such items with new ones instead of reimbursing their depreciated value. This would not only save you a lot of trouble but also give you peace of mind.

A home insurance policy is a must for everyone, whether you own your own home or live in a rental. However, a standard policy may not be enough in most cases, especially in changing times when the contents of the home are often just as valuable as the structure. By opting for the right add-ons, you can make your home insurance more comprehensive and cover yourself against most losses. Not only that, but you can also make sure that your family doesn’t face too much inconvenience in case of a mishap where you have to move temporarily.

Written By: Tarun Mathur, Commercial Director – P&C, Policybazaar.com

(Disclaimer: The opinions/suggestions/advice expressed here in this article are from experts only. Zee Business encourages its readers to consult with their financial/investment advisors before making any financial decisions.)

Show More

Related Articles