Reasons Why Insurance Protection Is Necessary For Every Home?
One of the biggest investments you will ever make is the one you just made to purchase your dream house. You feel successful after outfitting and relocating your most priceless possessions.
Now picture losing all of these assets without warning to a fire, flood, natural disaster, theft, or other calamity? The impact on both finances and emotions would be terrible.
You might assume that something like this would never occur, yet it all begins with a small error. an unattended gas range. a spark of electricity. A fire. You are suddenly faced with the partial or complete loss of one of your largest investments.
According to statistics from throughout the world, a house fire starts every 89 seconds, resulting in claimed property losses totaling billions of naira. One in five people claim to have experienced a house fire or other mishap and been required to make a damage payment at some point.
Nigeria’s Federal Fire Service (FFS) has identified electrical sparks as the major cause of fire outbreaks across the country in 2021. According to news reports, statistics revealed that in 2021, the number of fire incidents caused by electrical sparks was 636, while electrical equipment caused 447 fire cases in the year under review.
The FFS also recorded 567 cases with unknown causes while accidents, arson and automobile fires were 294.
It further stated that gas and special services caused 151 fire incidents while cigarette stubs and bush burning caused 133 fires.
With all these variables at play, the loss of property and homes can happen to anyone at any time. Sadly, a lot of people still don’t see the value in insurance today and who can blame them? Advertisers of countless services, products and ponzi schemes are constantly fighting for their attention, dangling numerous prospective monetary payments in their faces. With a hard economy and so many bills to pay, it is frustrating to have to dole out an extra pay check in order to pay for something seemingly intangible and of no immediate value or interest. Furthermore, there is the issue of trust.
What if the insurance company fails to fulfil their obligation or makes things complicated for you? This is why having your home and assets insured with a reputable insurance company is not only a really good idea, but a necessity.
Did you know that you don’t even have to own a building to need home insurance? Many landlords require their tenants to maintain and keep their buildings safe, without fail. But whether it’s required or not, it’s smart to have your home protected. In addition, as a tenant you can also insure the contents of your home against fire, theft and other perils
This article contains the basics of a home insurance policy, its importance and the various ways you can protect your assets.
To start with, householder/houseowner insurance is important because it protects you by making sure your building and contents are covered in case the unexpected occurs. In European countries and indeed the western world, you can’t rent or take out a mortgage on a house without having home insurance coverage. This is because they understand the importance of having the building or property covered with good measure.
If your building was damaged or your possessions stolen, the burden of the costs of repairs, reinstatement and replacements will rest solely on you. With a home insurance policy, if anything happens to your property or possessions that are covered, you’ll be protected financially and compensated by your insurance company
If unfortunately, a fire ripped through or a flood caused widespread water damage – and you and your family got displaced because your house became uninhabitable; most home insurance policies extend cover for an alternative accommodation, which will cover cost of temporary accommodation for you and your family.
What is covered by your home insurance policy?
A standard policy will provide cover against fire, explosion, water damage caused by bursting of pipes, wind, hail, smoke damage, theft / house breaking and other damage caused by vandalism or criminal activity. The insurance on the building will cover the structure, walls, fixtures, fittings, while the insurance on the contents will cover furniture, household utensils, electrical and electronics items, personal effects etc.
Your home insurance policy documents might not be top on your list of favourite things to read, but it’s best for you to go through it carefully so that you truly know and understand what you’re covered for, what is excluded and what your rights are. Also work with a well-grounded and transparent insurance company that will take the time to explain the necessary little details to you that you might not understand.
Source:businessday
