Home insurance

What is Home Owner Insurance?

Home Owner Insurance is a property insurance that protects one against damages to the house or belongings in the house. A standard Home Owner Insurance policy protects your house and also your house belongings. The policy offers cover for damage incurred to the house and house belongings by fire, earthquake, burglary/theft and many other reasons.

Why do you need Home owner Insurance Plan?

Having Home Owners insurance is very important as it not only offers protection to your house but also to the belongings in your house along with cover for your liability for any injuries or property damage you or your immediate family members are responsible for. Though Home Owner Insurance is optional, many mortgage lenders require you to have home owners insurance in order to lend money. Home Owner Insurance will not only save you from unexpected expenses but will also help you make your home more resistant to natural disasters and leave you stress free.

Features and benefits of Home owner Insurance

Listed below are the general features of Home Owners Insurance

Offers comprehensive insurance coverageThe plan offers comprehensive cover which protects the house and contents of the house.

Optional coverOne can opt for additional cover that will cover other perils that is not covered by the base Home Owner insurance policy.

Temporary living expensesMost of the policies pay compensation for temporary living expenses in case the house is uninhabitable after a certain claim.

Cheaper mortgage policiesHaving a Home Owners Insurance policies will give the insured an edge in negotiating for a lower rate with mortgage policies.

Hassle free application processThe application process is easy and one can apply for the schemes online too (given that the bank has made the provision)

Minimal documentationThe plan requires minimum and simple documentation.

Discounts on premiumMost of the banks or lenders offer premium discount for security features at the house.

Home owner Insurance Covers

Listed below are the perils covered under Home Owner Insurance

Fire and special perils

  • Fire
  • Lightning
  • Damage from an aircraft collision
  • Explosion / implosion
  • Storm
  • Cyclone
  • Typhoon
  • Tempest
  • Hurricane
  • Tornado
  • Flood and Inundation
  • Riot, strike and other malicious damage
  • Subsidence and Landslide
  • Rockslide
  • Bursting and/or overflowing of water tanks, apparatus and pipes
  • Missile testing operations
  • Leakage from automatic sprinkler installations
  • Bush Fire
  • Terrorism

EarthquakeThe policy offers cover for loss or damage caused to the house and its belongings in the event of an earthquake. Sum Insured for this cover is identical to the Sum Insured against the risk covered under main policy.

Burglary and theftSince the contents of the house is covered under the policy, cover is offered for the theft or loss of house contents or damage incurred by the house in the event of burglary.

Home owner Insurance Exclusions

Listed below are the exclusions or the features that are not covered under the Home Owner Insurance policy
  • Loss or damage that might be due to wear or tear
  • Loss of cash
  • Damage or loss due to war and nuclear attack
  • Loss or damage to an electronic equipment due to over usage or excessive pressure
  • Wilful destruction of the property
  • Loss of painting, antiques or other works of art

Companies providing Home owner Insurance in India are

Given below is a list of the most popular companies in India that offer Home Owners Insurance.