When you finally buy your dream home, it comes with certain responsibilities that you must prioritise. One of these responsibilities is insurance. As a homeowner, there are two different types of insurance that you must have: homeowner's insurance and home contents insurance.
For both insurance types, keep the following in mind:
You must ensure that your house is covered by homeowner's cover (HOC). If you have a bond, you should also have life cover to ensure your bond will still be repaid if you pass away. This insurance is generally provided through the bank where your bond was approved.
A homeowner's insurance policy specifically covers the following:
You will be insured for:
Only bank-approved and NHBRC-registered contractors registered on your insurance panel can be appointed to repair your property.
Along with your house's physical structure, you also want to ensure that all your possessions are insured. This can be done through any major insurance provider or broker. You should ensure your household contents are valued accurately. It is very easy to undervalue the cost of replacing your possessions, so a thorough audit of what you have and what it would cost to replace will help you ensure that you take out sufficient insurance should something like theft or fire occur.
With home contents insurance, you can either insure your house's contents for a set total amount (for example, R500 000), or insure specific items for their specific values (for example, a R40 000 computer).
Home content insurance covers some of the following items:
Always read your insurance policies thoroughly and adhere to their stipulated requirements to avoid negatively impacting future insurance claims.
Contact your insurance provider directly should you have an insurance claim.
DISCLAIMER:
The recommendations herein are given in good faith and are meant to guide the user. The recommendations do not constitute a guarantee, as the conditions of use and method of application are beyond our control.
