With Home and Contents Insurance, Protecting your Home is Easy Previous item 4 Advantages of Life Insurance Next item Health Insurance Is Your...

Insurance protection policies are commonly known as “general insurance” policies and are taken out by consumers against an event that may or may not happen.

Lets start by looking at – What is Home and Contents insurance?

Home and Contents insurance covers property inside and outside your home. There are three main insurance protection policies:

Home insurance – protects the structure, the fixtures and the fittings in your home. The insurance can provide cover for the costs associated with loss or damage to your home against things that are out of your control, such as damage from natural disaster (e.g. storms and bushfires).

The Exterior of Your Home

Contents insurance – protects your belongings and can provide cover for the costs of replacing or repairing your unfixed household items (e.g. your furniture, clothes, appliances, your priceless valuable jewellery and family assets). Your contents and your personal belongings are things that make your home, and you want to be sure that they are safe and secure. Contents insurance usually is sold alongside home insurance. But contents insurance can also be purchased as a stand-alone policy, this is especially beneficial if you are renting rather than owning your home.

The Inside of Your Home

Home insurance and Contents insurance – are often bundled together by insurers as a “Home and Contents Insurance” package known as an all-inclusive home insurance policy that will protect your home and the personal belongings inside your home.

Do all Homeowners need Home Insurance Cover as well as Contents Insurance Cover?

This is an interesting question asked by many consumers. The type of cover you need will depend on whether you are renting or whether you own your own home, for example:

  • If you are a homeowner or landlord, you will usually need both home insurance and contents insurance cover, and
  • If you rent, you will only need contents insurance cover

Remember – All homeowners will need home insurance cover, but contents insurance cover is for everyone.

Consumers are often confused with the different types of home insurance cover and contents insurance protection policies to choose. Here is a list of the different types of home insurance cover and contents insurance policies available to decide from:

For your home insurance protection plan, you need to work out if you want the following insurance cover:

  • Total Replacement cover – this type of cover will include all the costs to rebuild your home to the standard it was prior to damage, or
  • Sum Insured cover – this is more common and will provide cover up to a set amount

For your contents insurance protection plan – you need to understand the two main types of contents insurance policies, such as:

  • A policy that covers the value of your contents, or
  • A policy, which enables you to replace your contents with new items (e.g. “New” for “Old”). It is important to remember that “New” for “Old” policies tend to be more expensive

So, now that you have read this informative guide, you should know the basics of home and contents insurance. If you are still confused about finding suitable home and contents insurance cover, go to a professionally qualified and expert insurance broker and get home and contents insurance cover that will protect your home and personal assets, and save you a lot of stress



Phone: (09) 525 3232
Email: enquiry@sit.co.nz
351a Great South Road. Ellerslie
Auckland 1051