The Need For Contents Insurance
You’ve insured your car, your home, your health and your life but have you insured your possessions? Contents insurance focuses specifically on the insurance of possessions and home contents and is considered to be a separate form of insurance to home insurance. Most home insurance policies include some sort of cover for your possessions but they can be generic, so you will need to ensure that your insurance policy provides cover for your particular set of possessions.
Contents insurance, also called household contents insurance, covers your possessions. This can be anything in your home that is not a permanent structure or fitting such as furniture, curtains and loose carpets, clothing, appliances and equipment, and electronics. Fridge and freezer contents may also fall under contents insurance, as do garden contents like patio furniture and lawnmowers. This type of insurance usually covers theft and damage to possessions by fire and flood but can also extend to liability to people like domestic workers, for example. Home, or household insurance, on the other hand, covers the actual dwelling itself, the outbuildings and fencing but no contents. When choosing contents insurance, be sure to check that it includes possessions in outbuildings as this can be useful to have, particularly if you own expensive power tools. Swimming pool cleaning equipment and borehole equipment is also considered to be part of your home contents, so don’t forget about that. Furthermore, coverage of some contents such as equipment for your home-run business is optional on certain insurance policies, so you will need to determine if you want to have these items included in your premium or not.
Some possessions are portable, meaning they travel in and out of your home with you so it is important to have cover without geographical restrictions for these items. Laptops, expensive designer clothing, jewellery, iPods, cell phones, cameras, bicycles, prescription glasses or contact lenses, and even handbags are all considered portable possessions but can usually only be insured if they have a value over a certain amount. Most insurance policies make provision for portable possessions but you will need to specify what they are and indicate that you need coverage thereof.
If you are renting your home then you will find contents insurance to be particularly applicable to you. Renters don’t need home insurance; they need contents insurance because they do not own the home they are living in. The landlord is the actual owner of the property, and, as such, should have home insurance. A landlord’s home insurance does, however, not cover the possessions of the tenant. Therefore, people who lease should ensure that their premium is for contents only and does not include the dwelling itself. Lessees will also want to have contents coverage in the event that the geyser bursts and damages valuable possessions.
In terms saving money on your contents insurance, it is advisable to combine it with another type of insurance like car insurance as you can potentially save on your monthly premium this way. You can also get cheap insurance by shopping for insurance quotes online because many insurance companies are giving discounts for going this route.
Source : http://ezinearticles.com/?The-Need-For-Contents-Insurance&id=5284428