Home Insurance Basics

What is Home Insurance?

Home or household insurance is designed to protect and cover against the possible risks you may encounter if you're a homeowner. It is split into 2 main categories, buildings insurance and contents insurance.

Buildings insurance covers the structure of your building in the event of natural disasters and possibly other accidental damage (a burst water pipe for instance). Contents insurance provides cover for the possessions in your home should they be stolen or accidentally damaged.

Why do I need it?

Also, if you work out how much it would cost to replace the contents of your home and the time you've spent on furnishing it, you may then see that contents insurance is a worthy investment.

What do I need to know?

Firstly, educate yourself on how to read and understand a home insurance policy. Any help you need about insurance terminology can be found in our A to Z glossary.

What's the right policy for me?

You need to find a sense of balance between coverage and cost. Figure out the suitable level of coverage by consideration of the following factors:

  • The level of cover you need
  • The value of the possessions you must protect
  • The amount of money you're prepared to spend
  • Your tolerance of the possible risks

The Insurer should fit your policy to your personal needs. For further advice and cost reduction tips see our insurance quote reduction tips.

Buying your Policy

To ensure you are getting the best possible deal, shop around, evaluate and compare all the appropriate policies that provide the cover you need. Think about policies in terms of price, coverage, excess, flexibility and the reputation of the insurer.

The Insurance Centre can reduce the amount of time and money you spend on this by accessing literally hundreds of policies from the UK's most economical and respected insurance providers giving you the most competitive quotes immediately online.