It’s easy to feel a bit lost when trying to pick the right home insurance cover. With so much fine print and a range of add-ons and extras on offer, it’s hard to know what’s right for your property. Do you need every additional feature, or are there some that you could skip to save on premiums? And most importantly, how do you choose the right type of cover to protect your home without stretching your budget?
We know how puzzling all the insurance jargon can be. That’s why we’ve put together this guide — to make it easier to understand what each type of cover offers and help you make an informed decision. Whether you're looking for essential protection or considering more comprehensive options, we'll walk you through everything you need to know to feel confident about your home insurance choices.
Types of building insurance
Whether you’re insuring a primary residence or a rental property, knowing the different types of building insurance on offer is your first step to getting the right coverage. There are several types of building insurance you can opt for, each tailored to suit different homeowner needs:
Buildings Insurance: This is the most basic type of home insurance cover and covers the physical structure of your home, including the walls, roof, and permanent fixtures like built-in cupboards. Buildings insurance protects against damage from fire, storms, and other unexpected events that may require substantial repairs or even a full rebuild. It’s an important protection for homeowners, particularly those with a mortgage, as lenders typically require this cover to protect their investment.
Contents Insurance: While buildings insurance covers the structure, contents insurance protects the items within your home, like furniture, appliances, and personal belongings. This type of home insurance cover is ideal for safeguarding your possessions against theft, fire, and even accidental damage. It’s a good choice for homeowners and renters alike, as it ensures the things that make your house a home are covered.
Combined Buildings and Contents Insurance: Many insurers offer a combined policy for buildings and contents cover, providing an all-in-one solution for both the structure and the possessions inside. This comprehensive approach is often more convenient and can sometimes be more cost-effective than purchasing separate policies.
Landlord Insurance: If you’re renting out a property, landlord insurance offers protection specifically for landlords. It covers buildings, contents (if the property is furnished), and may even include loss of rental income and liability cover, in case a tenant suffers an injury in the property. With landlord insurance, you’re protecting both your property and your rental income, ensuring that unforeseen circumstances don’t put you out of pocket.
Non-Standard Construction Buildings Insurance: For properties with unique or non-standard construction, such as listed buildings or those built with thatched roofs, non-standard construction buildings insurance is available. These properties often require specialised cover due to the different materials and techniques used in their construction, which may present unique risks.
Key types of cover
Now that you’ve got a better idea of the types of buildings and home insurance, it’s time to think about the different types of cover within those categories. Although each insurer offers their own unique products, the key types of cover fall into a few general categories:
Standard Cover: Standard cover typically includes protection against common risks such as fire, storms, and theft. This level of cover generally meets the needs of homeowners looking for a basic policy to protect against significant loss or damage. However, it may not cover things like accidental damage or legal expenses.
Accidental Damage Cover: Available as an add-on or within comprehensive policies, accidental damage cover protects against unintentional mishaps that might occur in daily life. From breaking a window to spilling coffee on the sofa, this type of cover ensures that minor accidents won’t lead to significant out-of-pocket costs. Accidental damage cover is particularly useful for families with young children or pets, where accidents around the home can happen more frequently.
Legal Expenses Cover: Some policies include legal expenses cover, which provides financial support if you need to take legal action or defend a claim related to your property. This might include disputes with neighbours, personal injury claims, or contract issues with builders. Legal expenses cover is invaluable if you ever face a legal situation where professional support is necessary but costly.
Comprehensive Cover: Comprehensive cover isn’t a one-size-fits-all policy, but goes beyond the basics, offering a more extensive level of protection. Alongside standard risks like fire and theft, it may include contents insurance, accidental damage cover, legal expenses cover, liability cover and more. Comprehensive policies often offer higher claim limits for things like expensive jewellery or art, and may also cover loss or damage due to a wider range of incidents, giving you peace of mind with a robust safety net.
Now that you’ve got the gist of the different types of cover on offer, you can have a think about what best suits your home, based on what needs to be covered. Do you have some artwork you’d like protected against theft, fire, or flood? Or maybe you just need standard cover, so that your home is protected but you’re paying smaller premiums. But before you go off and organise your new insurance policy, there’s a couple of other key definitions you need to know about!
Cost of rebuilding and sum insured – know the difference!
When organising your building insurance, understanding the cost of rebuilding your home is critical. Despite what many people think, rebuilding costs aren’t just about the market value of the property! They involve the actual expenses required to reconstruct your home from scratch if the worst should happen. This cost calculation includes materials, labour, and any additional costs such as demolition and site clearance, all of which can vary based on location and property type. They also tend to rise with inflation! Ensuring an accurate assessment of these costs is where RebuildCostASSESSMENT.com can assist, providing reliable evaluations to ensure you’re neither underinsured nor overinsured.
What about ‘Sum insured’, though? This is the maximum amount an insurer will pay out in the event of a total loss, so it’s vital to set a realistic figure. Too low a sum insured could leave you with out-of-pocket expenses if your policy doesn’t cover the full rebuilding costs, while an overly high amount could mean you’re paying unnecessarily high premiums.
Accurate rebuilding assessments through RebuildCostASSESSMENT.com’s services can offer the peace of mind that comes with being properly protected. After all, the right rebuild cost estimate and the total sum insured reflect your home’s true value and safeguards you from financial surprises should you ever need to rebuild or repair.
Still not convinced? You need to read all about the average clause and what it means for your insurance. Even a small repair claim can be impacted by this tricky insurance clause.
What about fixtures and fittings?
When setting up building insurance, it’s important to understand what’s included as fixtures and fittings in your cover. Fixtures are generally considered permanent parts of the home — built-in cupboards, fitted kitchens, and even bathroom suites that are attached to the property. Fittings, on the other hand, might include things like curtains, light fixtures, and freestanding furniture. Typically, buildings cover includes fixtures, as these form part of the home’s structure, but not necessarily fittings, which may be covered under a separate contents insurance policy.
Knowing which items are protected under your policy will help you evaluate the levels of protection required. If your policy includes fixtures, damages to things like cabinets or built-in appliances would likely be covered. However, if your home has bespoke or high-value fixtures, you may want to confirm with your insurer that these are included in your policy.
Landlord insurance and extra coverage options
If you’re considering renting out your property, landlord insurance offers specific protections that go beyond standard home insurance. Unlike regular buildings insurance, landlord policies often cover loss of rental income, so if a tenant needs to move out temporarily due to a covered event, you won’t be out of pocket. Landlord insurance also typically includes liability coverage, which protects you if a tenant or visitor suffers an injury on your property and holds you responsible.
Even if you’re not a landlord, extra coverage options might be worth exploring. For example, accidental damage cover protects you from unexpected mishaps like spills on the carpet or a broken window. This is often an add-on to standard home insurance policies and can provide additional reassurance against common household accidents. For those looking for the highest level of protection, premium policies are available that include comprehensive protection against loss, damage, and personal liability.
Adding these extra layers of protection can ensure you’re fully covered no matter how your property is used. Reviewing the available options and carefully considering your needs can provide the comprehensive cover you need for total peace of mind.
Get the right type of cover for your home today
Building insurance is really an investment in protecting your home, whether you’re a homeowner or a landlord. By understanding the types of cover available — from basic buildings insurance to landlord and comprehensive policies — you can select a level of protection tailored to your needs. Choosing the right insurance policy ensures that you, your property, and your belongings are safeguarded against unexpected events.
To fully secure your property, consider a rebuild cost assessment with RebuildCostASSESSMENT.com. Our expert assessment will help you set the right sum insured and fully protect your property today. Ready to go? Get started with our desktop assessment now.
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Important disclaimer: The information provided here is for general informational purposes only and is not intended as professional advice. While we strive to ensure all information is accurate and up-to-date, the content may not reflect the most current legal or regulatory developments, standards, or practices. No representations or warranties are made (express or implied) about the accuracy of the information provided, and reliance on this information is strictly at your own risk.
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