Beat Those Home Insurance Tricks

There are few things more frustrating in life than insurance policies. For the most part they feel like a pointless waste of money as you spend hundreds of pounds every year for a policy that offers you nothing in return except peace of mind in case the worst happens. However, when the worst does occur and you finally expect to see the fruits of your endless payments, you’re very often caught out by the small print that leaves you wondering if your insurance policy was even worth the paper it was written on.

These tricks apply to almost any form of insurance, but are arguably at their most exasperating when applied to home insurance. After all, the home is where the heart is - and it’s also, for most people, their most expensive financial outlay.

In theory, a home insurance policy should cover your home and its contents against damage and loss. In reality however, you must be on your guard to ensure the insurers don’t trip you up at claim time.

How do home insurance providers catch you out?

With any form of insurance it’s important to remember that the insurer carries an expectation about your circumstances. From this expectation it calculates your risk level – the more likely you are to make an expensive claim, the higher your home insurance policy will be.

As a result you must keep your insurer informed about your circumstances or it will penalize you. For example, when it comes to buildings home insurance one of the most common reasons claims are turned down is because buildings are expected to be in a reasonable state of repair at all times. So if tiles fly off your roof during a storm, but they were already loose, then chances are your insurer won’t pay out. You must keep your home in good condition at all times.

Subsidence is another common area where insurers catch you out. Subsidence can be caused by trees planted too close to the house. If you have planted these trees the insurer is unlikely to offer a payout as it will deem the cause of the claim as negligence on your behalf for not thoroughly reading about how close the trees shouldn’t be planted to your home. As a general rule of thumb, never plant a tree less than five meters from your property. When it comes to contents insurance, the most common mistake people make is to undervalue their worth. Clearly the higher the value of the contents of your home, the higher the premium is likely to be. Yet if you undervalue your contents you will be left short-changed should the worst happen.

It’s also vital to make use of anything that earns you a discount. For example, home insurance companies offer lower premiums to homeowners with burglar alarms and window locks. However, if your alarm is switched off at the time of a break-in, or you leave a window open, then your provider won’t honor your claim.

So what can you do to ensure you receive a home insurance payout?

The most important point to emphasize is honesty – it really is best for your policy.

There’s no point saying you have a burglar alarm, locks on your door, or that you’re part of a Neighborhood Watch scheme, when in reality you’re not. Though you may enjoy cheaper premiums, when it comes time to make a claim your insurer will look for these precautions to be present - if they’re not, you’ll miss out.

If you feel there is an area of your home that is in a poor state and you don’t have the cash to repair it, then let your insurer know ahead of time – it should make allowances and may even offer a discount if there is an area of your home, such as an outbuilding, for which it will not offer cover.

Keep your policy as up to date as possible. Make sure you review the contents aspect of your policy at least twice a year and particularly after Christmas and birthdays when a lot of new items may enter your home. It may be necessary to take out cover for specified expensive items separately.

Examine the terms and conditions of your policy carefully. Look for any notable exclusions, all of which should be listed - for example will your insurer cover you if a fence blows over or if a tree falls and hits your building?

Know exactly what you want from a policy and if you’re not happy with the level of cover available then compare home insurance online and you may find more suitable coverage elsewhere.