Many believe that contents insurance is only for homeowners, but this is not true. Homeowners, landlords and renters can all benefit from contents insurance for homes and buildings. It is a way to protect your belongings against theft, accidents and natural disasters.
Contents insurance will cover your personal belongings or the rented belongings in a building against theft, damage or natural disasters. This could include furniture, clothes, household appliances, books, jewellery and more. Some insurance policies will not cover moveable items such as bicycles, cars and motorcycles, and have claim limits for certain items, so be sure to read the fine print.
Some insurance policies will also have other exceptions, for example, not offering flood coverage in a flood-prone area. Be sure you understand fully what the exceptions are to your policy so you do not get any surprises when making a claim.
Contents insurance for homes and buildings comes in many forms, and it is important that you find the insurance policy that best suits your needs. The first step is to figure out how much insurance you need. To do this, you will need an inventory of your belongings and an estimate how much money you will need to replace the items, if them were damaged or lost.
Standard contents insurance for homes and buildings will cover belongings against loss, theft or damage, up to a pre-determined amount. There should also be special coverage for valuable items, such as jewellery and antique furniture. Most insurance companies will require that an applicant lists especially valuable items, normally those worth more than ₤2,500 each.
You should also beware that standard contents insurance will not cover very valuable items such as antique jewellery, and other pricy collections. To cover such items, you may need to either take out a separate insurance policy or ask what optional features the contents insurance you are being offered may have.