Home insurance: Five Details to Note..!

Home insurance: Five Details to Note..!

Take care of a few things while buying home insurance so that the policy can be effective.

1. Time period..!

 Home insurance can be bought for a minimum of one year to a maximum of 5 years.

Do remember to renew.

2. Suitability..!

 A bank may encourage you to buy its home insurance product along with the home loan.

Choose only a policy that suits your needs.

3. Apartments..!

While an individual apartment may be covered, this would not help if the rest of the building is not.

“In the event of a loss, if the property is insured on an agreed value basis, the insured gets back the agreed value & the ownership of your house is transferred to the insurer. 

This helps because if your house is in a multistorey building you will need to wait for others to reconstruct their house first. But if you are insured, you simply take the agreed value and you can buy a house elsewhere,” said Mr.Sasikumar Adidamu, Chief Technical Officer, Bajaj Allianz.

4. Fine print...!

Home insurance policies are worded differently.

For example, structure insurance may only be for building and not land, or only jewellery kept in the locker may be covered.

5. Tenants...!

If you are living in a rented house, you can insure only the contents and not the structure as you do not own it.

These are only some of the specifications.

As with any kind of insurance policy, with a home insurance policy, too, the best results come through when the initial details are taken care of.

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