Your home- sweet home

Your home is the result of your dreams those you had for a long time and once you have achieved your dreams you would want to keep your home well maintained, beautiful, full of comfort as much as you can. However there are certain circumstances which are beyond your control like earthquakes, floods, fire and other natural disasters along with theft etc, can harm your home and cause loses to you. The only way out to keep safe from such problems is to cover your home and household items with proper insurance policies.

Most important insurance for your home – Structural Policy

While going for home insurances, we generally forget the most important insurance – the structural insurance for our homes. Yes, we need to cover the structure of our homes as basic requirement because in cases of natural calamities like earthquake, fire or flood the cost of restructure, which perhaps is most expensive your insurance company covers losses in such cases. People with homes on their own plots are eligible for this policy. I must mention here that your insurance company pays you according to actual cost basis in such cases and not as per market value.

Policy for your household

This policy covers your household from every risk including damages, theft of any item or damages including furniture, jewelry, appliances, electronic and electrical devices etc. The policy cover includes even the rent you pay in case of damage to your house and you have to live somewhere else on rent basis, the amount paid as rent is reimbursed to you to cover your losses.

How they calculate sum assured or premium

Basic valuation of such insurance depends on your house’ floor area or in other words going market rates of construction cost as per classification of your house per sq/ft multiplied by built area and other household items. Here the formula of depreciation/appreciation is applied as per policies of the insurance companies. You must know at this point that if you keep your house with no occupancy for more than 60 days without informing your insurance company, your claim would be denied in case of theft also movable properties like cash, bonds, share certificates, car etc are not covered in these policies. 

Article Posted By : suny  On April 18, 2013lView All Articles

Suny is covered so not worried.

Article Source :

http://www.veethi.com/articles/you-must-have-a-home-insurance--article-2026.htm

Keywords :
Insurance , Household , Home insurance , Risk cover , Theft , Earthquake , Natural disaster , Structure