As much as 30% of the landmass in India is prone to severe earthquakes while 27% of it is susceptible to quakes of moderate intensity. As for the coastline of this country, 76% of it is prone to cyclones and tsunamis. While these are some stats representing impending natural disasters, housing properties in India are thus subject to such unforeseen calamities apart from other risks like fire, vandalism, burglary, theft, etc.
As house owners face the risk of such disasters and damages, purchasing a home insurance plan helps mitigate the financial losses arising from them. However, when purchasing an insurance plan to cover your house against such damages, you choose the policy wisely.
Below given are a few ideas you can utilize to purchase a suitable home insurance plan that provides adequate cover to your house.
Ideas to use to protect your home with a home insurance policy:
- Know the inclusions in the insurance policy
Your house being among the most valuable purchases of your life must be protected with an extensive policy for house insurance. To make sure you have comprehensive coverage for this asset and the valuables inside it, make sure to check for the following inclusions.
- Structural damage
A property insurance plan aims to cover losses incurred in case of damage to the house’s structure due to any of the listed events. Make sure to check whether it secures the house along with its attached structures like garage, deck, etc., against such damages.
Besides, the policy should also cover damages sustained by the house fittings, like electrical wiring, and more.
- Damage or loss of valuable content at home
Home insurance in India also covers the loss of valuable items in the house like furniture, electronic appliances, etc. All of it comes at a nominal premium amount.
Policies like Bajaj Finserv Home Insurance plan also covers loss of jewellery and other precious works of art against the same premium value.
- Alternate accommodation during the rebuilding of the house
Home insurance schemes also provide you with alternate accommodation assistance or a temporary place to live while your house is being rebuilt after damage.
- Option to upgrade with add-on benefits
You must also look for a policy that brings an option to upgrade the coverage through the purchase of add-ons against a small premium amount. These add-ons bring back the peace of mind as you do not have to worry about your valuables even when you are out of the house.
Add-ons like home protection cover, electronic stationary insurance, home inverter insurance, key replacement insurance, kitchen appliances cover, etc. are some of the popular Pocket Insurance products offered by Bajaj Finserv. So, when you apply for home insurance, you can choose from any one of them to insure your belongings in the house. You can also purchase them at any time during the insurance period.
- Look for a high sum assured against a small premium amount
Home insurance plans insure your property for the long term, say up to five years. Look for insurance providers who offer substantial coverage against an affordable premium to be paid annually.
- Keep in mind the insurer’s claim settlement ratio
When choosing the insurance provider, it is essential to keep the claim settlement ratio in mind. It is a ratio that reflects the number of claims settled by the insurer against the number of claims made.
Ideally, a reputed insurance company would have a claim settlement ratio of over 90%.
Keep these things in mind before choosing an insurance plan for your home to enjoy the best coverage. Insuring the valuables in life reduces financial stress to a large extent. In fact, it is essential to buy a home loan insurance policy even when you avail housing loans.