Why It’s Important to Buy Home Insurance
Your home; your biggest financial investment and your most valuable one, yet so vulnerable. So susceptible to natural calamities, theft, and vandalism. Your home is your place of worship, your safe place where you build memories. A structure you spend years building, and crafting, investing money on and in a fraction of a second it could all be gone? Are you scared? You don’t have to be. You can secure this huge investment by doing one simple thing. Buying home insurance.
Many people think twice before investing in home insurance, they look at it as a waste of money, something that is not important. But what they don’t understand is that it’s a great investment when it comes to securing their property. No one and nothing is immune to disaster and it cannot be prevented, what can be prevented is the financial loss that arises from it. And you can do that by investing in a home insurance policy.
Here are a few reasons why you should buy a Home insurance policy
Secures Your Home: The first and most important reason you need home insurance is the protection it gives your home. When natural calamities like earthquakes, floods, fire, falling trees and branches damage your home, you don’t have to invest any money into repairing the damage. If you have a home insurance your home is automatically covered and the insurance company will pay for all the damages and repairs. You’ve already spent so much money on construction and continue to spend so much money on the maintenance of your home the last thing you want is to be left to pay a huge bill for damages. And this is why home insurance is important. A home insurance will not cover the market value of your home but the rebuilding value. This way you will not have to spend any additional finance in rebuilding it.
Covers your belongings: There are two types of home insurance policies. One is Building insurance and the other is Contents insurance. With contents insurance, you can cover all your belongings in your home. You may have many valuables at home, like artwork, jewellery, antiques, electronics and more that are worth a lot of money. If your house were to get broken into and robbed, a content insurance will cover the cost of the items lost by theft or damage. The insurance will replace the value of all the items lost or damaged.
You can enjoy worry-free vacations: Have you ever gone on a vacation before? What are the things you worry about? Your home and your belongings, Right? Thoughts of your home being broken into, robbed or damaged will continuously cross your mind. This will worry you and ruin your holiday. But when you have home insurance that covers your home and belongings financially from such mishaps, you can enjoy a worry-free vacation whenever you want.
Collateral loans are secure: Your home is a big investment and therefore can be used as security to take a loan from the bank. This is known as a collateral loan. If a disaster were to befall on your home, without home insurance, you won’t only have to deal with the expenses of rebuilding your home but it may also leave you bankrupt as it will no longer be a suitable security against your bank loan. If you had a home insurance policy however, you won’t have to worry about this. Even if you have home loans, a home insurance will be beneficial to you.
If you look at the number of natural calamities that have destroyed homes in India, you’ll be shocked. Indian has lost billions of US dollars due to natural disasters like flood, earthquakes and more. Without proper home insurance, you could fall victim to these calamities and not have the finances to back you up, leaving you and your family is a miserable financial state. However, if you take out a good home insurance policy that provides adequate cover to your home, you won’t have to worry about natural disasters. Because if your home is met with a natural disaster, the rebuilding cost and your contents cost will be taken care of by the insurance company. The only way you can protect your home is with a good home insurance.