Importance of Having a Home Insurance Policy in India

Home is a priceless asset involving lifetime savings, aspirations, and efforts. Along with providing security and protection, your home houses the valuables of your life, such as jewelry, expensive gadgets, devices, antique items, and a lot more. Considering the climatic changes, environmental destruction, and possibilities of man-made vandalism, you have to agree that home can be shattered anytime.
To protect your home against the climactic destruction or man-made vandalism, a home insurance policy is a must. The cost of rebuilding your home can definitely burn a hole in your pocket. Also, for some people rebuilding the entire home is not possible at all. Hence protecting this precious asset becomes crucial. We at Safetree, offer need-based affordable home insurance policies that will safeguard your home from natural and man-made damages.

A Home Insurance Policy covers the structure of your home and the contents which include protection against the damages caused due to fire explosion, natural calamities like flood, earthquake, storm, and man-made destructions from riots, strikes, theft, burglary, etc.

A basic home insurance policy offers cover in 3 ways;

1. Reinstatement value: Under this coverage, the insurance company gives an equivalent amount of the cost of home construction excluding the value of the land.
2. Agreed value: This coverage provides an amount equivalent to the cost of your home construction including the value of the land.
3. Indemnity value: Under this coverage the insurer provides the current value of the home by deducing the depreciation value depending on the age of your home.

What is covered under content cover?

If you purchase an advanced home insurance policy, the insurer will offer protection against the damages caused to furniture, electronics, artworks, and jewelry. You can avail coverage for other content by selecting either indemnity value coverage or the reinstatement value coverage. During valuation, you should declare the content cover through bills and invoices. However, in case of reinstatement value coverage, the insurer will provide cash for the insured items without deducting any depreciation cost of wear and tear. Amongst the above mentioned 3 types of home insurance coverage, the reinstatement value costs more than the others.

There are a few special home insurance policies that cover the living expense of the policyholder when he/she is unable to stay in their home. However, the police are subjected to terms and conditions such as the duration, etc. Under some packages, you can claim for personal accident damages, compensations for the permanent or partial bodily damages caused in an accident. Depending upon your requirements you can choose the coverage for your home insurance policy.

What are the exclusions of home insurance policy?

• Any loss or damage caused due to civil wars, wars or related perils
• Loss of cash
• Any damages or loss caused due to depreciation, wear and tear of items
• Any loss caused due to pre-existing damages, defects and wear and tear
• Theft or attempted theft from open spaces like a yard, gardens, etc

Benefits of purchasing the home insurance policy

• A home insurance policy with extensive coverage covers all the valuables like jewelry, laptops, mobile phones, other electronic devices, and other valuable along with your home structure and land cost. You can also choose additional covers and riders while purchasing the policy
• The policy offers a replacement for loss: Depending upon the insurance plan you have chosen, you can get the damaged goods replaced with new items instead of getting the equivalent cost of those items
• Damages caused by all types of natural calamities are covered under the basic as well as advanced home insurance plans. As mentioned above, repairing your damaged home can cost a fortune. In such cases, a home insurance policy will save you from the financial crisis
• Home insurance policies are less expensive. You may feel home insurance policy is an unwanted expense, but you have to agree, eventualities do not come knocking. The only way to protect your home, the valuables, and to safeguard yourself from the financial loss, is by purchasing an adequate home insurance policy. For a home insurance policy of Rs. 40,00,000, you may just have to pay an annual premium of Rs. 2000. And a comprehensive coverage may cost you around Rs. 5000 for a year.

At Safetree,  we provide round the clock assistance and expert advice to help you select the best insurance plan that meets your requirements. We also provide technology-based customized insurance solutions to eliminate your insurance related issues. Visit our online website, explore our wide range of insurance policies offered at affordable premium rates and pick your ideal home insurance policy today..!