Contents Insurance | Home Cover Options | An Post Insurance (2024)

FAQs

How much should you cover for contents insurance? ›

When taking out contents insurance, you'll need to provide the cost of the possessions inside your house. To do this, you should add up the value of all your contents. This includes furniture, appliances, electronics, clothing and anything else you would take with you if you moved house.

It is a good idea to take out home contents insurance to cover your possessions against fire, theft and other risks, such as accidental damage. If something happens to destroy or damage your possessions, it can cost a lot of money to replace these items.

Contents insurance covers the cost of replacing or repairing your possessions if they are damaged, destroyed or stolen. It includes everything you would take with you if you moved home including your furniture, kitchen appliances, curtains, bedding, clothing, television, computing equipment and jewellery.

This covers things inside your home like furniture, clothes, sports equipment, and other personal items that are stolen or destroyed by fire, hurricane, or other insured disasters. The coverage is generally 50 to 70 percent of the insurance you have on the structure of the house.

When it comes to insuring your home, the 80% rule is an important guideline to keep in mind. This rule suggests you should insure your home for at least 80% of its total replacement cost to avoid penalties for being underinsured.

Most insurance companies say a reasonable amount for life insurance is at least 10 times the amount of annual salary. If you multiply an annual salary of $50,000 by 10, for instance, you'd opt for $500,000 in coverage. Some recommend adding an additional $100,000 in coverage per child above the 10x amount.

If you get it wrong and your home is burgled, or possessions ruined by flooding, for example, you could be left seriously out of pocket. The Association of British Insurers estimates that the average 3-bedroom family home contains items worth a total of £55,000.

Your contents cover does include kitchen appliances that are free standing, such as washing machines. But if your appliance is built in, it will be covered under your buildings insurance. There's no cover for your washing machine if it breaks down.

Most contents insurance doesn't include cover for accidental damage. It may be worth adding this if you want cover for mishaps, such as staining your couch or smashing a vase. Also check what isn't covered, for example, damage to clothing or computers.

What is the average excess for home insurance? ›

Some home insurance claims are worth much more than others and will usually require a higher excess amount. Claims for accidental damage are often relatively small, so the compulsory excess is likely to be around £100 – but for flood damage or subsidence the threshold is usually far higher.

A single article or single item limit on your contents insurance policy is the maximum amount you can claim per item. This limit can vary depending on the insurer and the level of cover you choose. It works as a cap for how much money the insurer will pay out to you for a single item, whatever that item might be.

Taking a full home inventory (including items kept in a storage facility) and maintaining a list of your possessions – especially the most valuable – is the best way to ensure your coverage limit accounts for your belongings. The sum of the value of all your items is how much coverage you need.

At a glance: Dwelling coverage is the most important part of an homeowners insurance policy and can be covered by: actual cash value, replacement cost, and guaranteed replacement cost. Losses to other structures on your property are typically covered for 10% of the value of the home.

Contents insurance, also called personal property insurance, provides coverage for your personal belongings up to your policy limits. Most home insurance policies include contents insurance at 50-70 percent of the dwelling coverage amount that's listed on your policy.

Research current market values: Determine the current market value of your personal property by researching various sources. Check online marketplaces, classified ads and price guides for similar items. Websites, like eBay or Craigslist, can provide insights into what similar items are selling for.