Building and content insurance

17 replies
Found 30th Dec 2016
Hi
we are looking for building and content insurance and getting very varied quotes and not sure where to start. how much % of house cost should we buy insurance cover.. also, RSA quote is £340 whereas AA is £175 for same level of insurance and excess. which are some better providers ? how is computerquote insurance as their is cheapest.

  1. Ask
  2. Insurance
17 Comments

Firstly Computerquote are merely an insurance broker not an insurance company. The amount of buildings insurance you need is calculated by the rebuildling cost of your house and not the actual value. Contents however is calculated by the total value of your belongings and by the sort of cover that is required. There is no 1 answer to that question and is personal to you depending how much cover you want. Hope this helps

make sure you have accidentally damage on both buildings and contents. make sure you have valuables listed and check the excess and some have hidden ones. both AA and RSA are OK

You need to insure for the full rebuild cost of the house otherwise 'averaging' will apply to any claim payout. AA is a broker not an insurer so look to see who will be the underwriter with their quote. For policies with good levels of cover look for Defaqto 5 star policies. Use one of the insurance comparison sites as a good way to compare quotes and cover.

you can calculate the rebuild cost of your house here......
abi.org.uk/Ins…ost

As someone said it does depend on what sort of cover you want, if you are prepared to pay for accidental things then you don't need accidental damage cover, I don't have it, but if you feel you can't/don't want to do that then yes you need to add that on. Be aware there are often lots of quirky things like freezer cover for food if there is a power cut, which again is up to you, but you can remove a lot of these if they aren't important to you. Bearing in mind if you claim for every little thing your premiums may well rise. It really depends how much "risk" you are willing to take that things won't go wrong, and how much you are prepared to pay out before asking your insurer for help.

Insurance is a complicated thing. You will have to read the terms of each to find out the real differences. One thing to remember is that they use the rebuild cost, not the current value of the house unless stated otherwise.

Also you can take out insurance via cashback sites, which often reduces the cost a fair bit. I do this, but remember this cash isn't an absolute guarantee, and I always compare the insurer price through the cashback site and by going direct to make sure I am getting a good deal

you can calculate the rebuild cost of your house here......
abi.org.uk/Ins…ost

As someone said it does depend on what sort of cover you want, if you are prepared to pay for accidental things then you don't need accidental damage cover, I don't have it, but if you feel you can't/don't want to do that then yes you need to add that on. Be aware there are often lots of quirky things like freezer cover for food if there is a power cut, which again is up to you, but you can remove a lot of these if they aren't important to you. Bearing in mind if you claim for every little thing your premiums may well rise. It really depends how much "risk" you are willing to take that things won't go wrong, and how much you are prepared to pay out before asking your insurer for help.

You'll get a cheaper quote by registering on Quidco.com and then going through their quotezone....this will compare over 40 companies in around 10 minutes of your time. I did this for my sister-in-law...she was quoted £525.80 by Direct Line but I got her the same (lower excesses however) cover for, believe it or not, £103.55 (after Quidco Cashback of £19.99). Also try the usual suspects...GoCompare / Comparethemarket etc.
Remember, even though your house is valued at, say, £300,000 the rebuild costs will only be around £200,000 (the land it stands on is expensive!). Contents should always be over-estimated, say £50,000 cover for a 4 bedroom house etc.
Good Luck

For accidental damage it is probably better to self insure (especially as you'll have a £100 - £200 excess) . You may think is great to have all those carpet spills , knocking into the tele etc insured but you will pay extra and of course you will have to declare any claim in subsequent years (putting the premium up) . Probably the worst thing I can do "accidentally " in my house is put my foot through a £500 tele (which I've managed not to do in the last 20 years ) - so maybe best just to get the basic buildings and contents . Got mine this year for £120 (and a £30 Amazon gift card) with a £100 excess from Nationwide on a 3 bed semi , but of course it will vary with your postcode . Rebuilding cost is a lot less than the actual house value .

Edited by: "rogparki" 30th Dec 2016

tomba

You'll get a cheaper quote by registering on Quidco.com and then going … You'll get a cheaper quote by registering on Quidco.com and then going through their quotezone....this will compare over 40 companies in around 10 minutes of your time. I did this for my sister-in-law...she was quoted £525.80 by Direct Line but I got her the same (lower excesses however) cover for, believe it or not, £103.55 (after Quidco Cashback of £19.99). Also try the usual suspects...GoCompare / Comparethemarket etc.Remember, even though your house is valued at, say, £300,000 the rebuild costs will only be around £200,000 (the land it stands on is expensive!). Contents should always be over-estimated, say £50,000 cover for a 4 bedroom house etc.Good Luck



​The rebuild vs. market value comment is incorrect. You need to take into account demolition and clearance costs too which don't happen for free. Most insurers will reliably calculate the rebuild cost.

Original Poster

chocci

In all my years of getting insurance, I have yet to see one calculate the … In all my years of getting insurance, I have yet to see one calculate the rebuilding cost of my properties. If you think about it, how could they possibly do this accurately?



So you cover for full price of house? But say if current valuation is £100k, £40k might be land cost & hence should insure for £60k right?

chocci

In all my years of getting insurance, I have yet to see one calculate the … In all my years of getting insurance, I have yet to see one calculate the rebuilding cost of my properties. If you think about it, how could they possibly do this accurately?



​All the major companies do, using the tool in the link posted by doctor43

dhanepud

So you cover for full price of house? But say if current valuation is … So you cover for full price of house? But say if current valuation is £100k, £40k might be land cost & hence should insure for £60k right?


Don't worry about the rebuild costs , the insurance co knows that - max £200k for a 3 bed semi and the £5-10k for demolition and removal of debris is included in that . Many companies just state "up to £1million rebuild costs " so unless you have a mansion it won't worry you . From previous experience the NHB rebuilding costs are typically , check on the link previously provided , 60% -70% of market value .

Original Poster

ya, even AA state that cover is unlimited "up to £1million rebuild cost".. if they are good i will just go ahead with them

Original Poster

there are add-ons like home emergency cover (£28) and home emergency response that (£88).. is it useful ? this is different than accidental damage.

dhanepud

there are add-ons like home emergency cover (£28) and home emergency … there are add-ons like home emergency cover (£28) and home emergency response that (£88).. is it useful ? this is different than accidental damage.


I added Home Emergency cover was £18 with Nationwide - basically up to £500 for heating loss , water leaks ,roof leaks etc . Not a comprehensive fix more a patch up thing ,but IMO worth it for £18 (and it doesn't affect your NCB).

Thanks for posting this, just changing mine.
Post a comment
Avatar
@
    Text
    Top Discussions
    1. Topcashback Trick or Treat competition75856
    2. E: 22/09 (+6) Win £40,000, a BMW X4 and a Gadget Bundle with Good Morning B…88
    3. Magazine competitions - Issue 43 @ tvchoicemagazine.co.uk55
    4. Win free gin for a year99

    See more discussions