Reasons You Need Home and Contents Insurance

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Every home owner should have home insurance and both home owners and renters alike should take out contents insurance.  Insurance will cover you in case your home is lost or damaged due to fire, a storm, flood or even an earthquake.  With contents insurance you can be happy nothing that if you lose any of your possessions due to an accident, a natural disaster or even theft, they will be covered.  You will receive a payout from your insurance company to replace the damaged items.  Contents insurance will even cover your belongings will they are in transit if you need to hire removalists.

 

Fire
House fires can start easily and spread quickly.  A lot of house fires start in the kitchen when people are cooking and leave the stove unattended.  House fires can also start because of faulty electrical wiring, having candles burning that are too close to curtains or furniture and even because of cigarettes being left that have not been put out properly.  Even if a fire can be contained it can still cause a lot of damage and without home and contents insurance you would have to pay for the repairs to your home and replace your furniture.  You should also be wary of fire if you live in a rural area or bushland.  Bush fires destroy homes and without insurance you could be facing having to start over.

 

Storm
Storms can do a surprising amount of damage.  As well as roofs being blown off and windows being broken, storms can bring down branches and even whole trees, which if they fall across your house, can do an enormous amount of damage.  You home and contents insurance will also cover you against any damage caused by a storm.

 

Earthquake
Luckily Australia is not prone to large earthquakes, although there are areas that experience tremors and small quakes.  Belongings can get broken, even during tremors, and some damage done to buildings.  It is good to know if anything like this does occur your insurance company will foot the bill.

 

Flood
As recent experience has shown us floods can do a lot of damage, sweeping away belongings, furniture and even whole homes.  You want to be covered against major flooding and even flash floods, which occur very quickly and unexpectedly.  You should be particularly vigilant about protecting yourself against flood damage if you live in a low lying area near a river or creek.  It is also important to have contents insurance in case you sustain any water damage if things happen, like your washing machine overflows and damages the carpet.

 

Theft
Your contents insurance will cover you if you lose any of your belongings due to theft.  Items often targeted by thieves include jewellery, computer equipment, televisions and even power tools.  It would be costly to have to pay to replace your possessions, and when it comes to luxury items, like jewellery, you might never find the money to replace them.

 

Moving home
Your contents insurance will also cover your furniture and belongings if you are moving house.  Usually the only time furniture gets damaged is when it is in transit, even though removalists are careful when the shift furniture and load it on the truck.  It is good to know your insurance will cover anything that gets damaged in a move.

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