Each and every year when our renewal notices come by means of the post for our residence contents insurance and/or residence buildings insurance, most of us automatically sign the form and send it back to the insurance business - right after all, we already know how much the premiums are going to be. Massive economic mistake, and here are 4 factors why:

Did You Get Something New In the Final Year?

In case you bought something new in the last year, say a brand new tv or video recorder, then the value of this new obtain is not going to be included in the renewal notice you just sent off towards the insurance company. Likewise, in case you sold anything of value more than the last year, and have not informed the insurance business, then that you are paying residence contents insurance for one thing you no longer very own. Either way, your not paying the right amount of insurance premiums.

Did The Costs Stay Static?

If you have home contents insurance then you are insuring your personal property for the replacement price of buying the same factor new. On the other hand, component of one's property buildings insurance need to cover the cost of labour and supplies. Now ask oneself, would the cost of replacing the picture hanging in your living room be the same these days as it was last year? If the answer is that it would expense you more, hard luck, you will only get paid out what you mentioned the expense of replacing it would be! The same might be mentioned of one's friendly builder, would he charge you exactly the same for an hour of his time and for his supplies right now as he would have completed last year? If the answer here is no, then you should be expecting to pay him the distinction.

Did The Value Of one's Home Remain The same?

Similar towards the above, together with your house buildings insurance you'll need to be asking oneself regardless of whether or not the value of your property stayed the same this year as it was last year? You will need to be asking yourself this question even should you didn’t do any function towards the home - such as constructing an extension - that would naturally automatically add value to your home.

Is Your House Any Safer Right now?

Here the question is, have you done anything to your property over the last year that would mean your house would be considered safer right now than final year? As an example, did you add any deadlocks to your doors or windows? If so, then there’s a very good likelihood your house contents insurance premium could be decreased, as the security inside your property can be a main consideration in assessing your premium (together with the crime rate in your neighbourhood, so you might also need to check and see if this has gone up or down also).

Bear in mind that time stands still for no man. As such, you need to read your home contents insurance and/or property buildings insurance renewal notices quite meticulously to ensure that they reflect, as accurately as possible, your life today and not your life of yester-year.