Arranging home insurance can become complicated if living in a council house or housing association property. The area of difficulty is often what is and isn't covered by the landlords own insurance policy.
The main two types of home insurance are building and contents cover.
Content insurance is required to cover contents inside a house. This is to cover moveable items such as your appliances, electrical goods, carpets, furniture and any valuables. In the event of damage or loss, possessions they will be covered under the contents insurance. The insurance company will then payout a figure to cover your loss if you have a policy.
Home contents Insurance is available in two options. 'New for Old' and 'indemnity' cover. The most comprehensive version is the new for old policy. The insurance company will payout for a claim to replace the items new value. For example, if a 15 year old carpet got ruined by a flood. A payout would be awarded to cover the replacement of new carpet of similar quality. Even though the original carpet was well worn and past its best.
The new for old cover contents insurance is more expensive. In the event on an incident a claim would be made for the value of a brand new replacement item. For example, the ten year old TV would receive a much bigger payout. Under this policy a brand spanking new product would be worth far more than an older worn out TV.
To cover the fabric of the house buildings insurance cover is needed. A council or housing associations tenant need not worry about this. The landlord will automatically have a buildings policy to protect their own interests. If the tenants home was damaged the council would arrange timely repairs at no cost to the occupier. If the unlikely event the tenant was deemed to be negligent and caused the damage. The council then might pursue the tenant for the cost of repairs.
For a typical council tenant our advice would be to treat the property as they would their own house. Get "new for old" contents cover and they will then have piece of mind that in the event of an accident or incident. Items will then always be covered properly by a sound insurance policy. - 29970
The main two types of home insurance are building and contents cover.
Content insurance is required to cover contents inside a house. This is to cover moveable items such as your appliances, electrical goods, carpets, furniture and any valuables. In the event of damage or loss, possessions they will be covered under the contents insurance. The insurance company will then payout a figure to cover your loss if you have a policy.
Home contents Insurance is available in two options. 'New for Old' and 'indemnity' cover. The most comprehensive version is the new for old policy. The insurance company will payout for a claim to replace the items new value. For example, if a 15 year old carpet got ruined by a flood. A payout would be awarded to cover the replacement of new carpet of similar quality. Even though the original carpet was well worn and past its best.
The new for old cover contents insurance is more expensive. In the event on an incident a claim would be made for the value of a brand new replacement item. For example, the ten year old TV would receive a much bigger payout. Under this policy a brand spanking new product would be worth far more than an older worn out TV.
To cover the fabric of the house buildings insurance cover is needed. A council or housing associations tenant need not worry about this. The landlord will automatically have a buildings policy to protect their own interests. If the tenants home was damaged the council would arrange timely repairs at no cost to the occupier. If the unlikely event the tenant was deemed to be negligent and caused the damage. The council then might pursue the tenant for the cost of repairs.
For a typical council tenant our advice would be to treat the property as they would their own house. Get "new for old" contents cover and they will then have piece of mind that in the event of an accident or incident. Items will then always be covered properly by a sound insurance policy. - 29970
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Council house tenants that wish to move should take a look at exuk.co.uk. A uk website specialising in Council House Exchanges.
