Additional Home Insurance Options

Not every household is the same, and so not every buildings and contents insurance policy on its own will be able to provide cover for every eventuality; because of this, a number of optional levels of cover are available to be added to your home insurance plan, should you need them. We've listed the most popular types of home insurance options below - some of them may come included with buildings or contents insurance as standard, or at a discounted rate. Common home insurance options include:

Legal cover: Legal cover pays out a pre-set amount to cover your court costs to protect your legal rights. Events such as a neighbour or someone reversing into your wall, or a tree from your garden falling damaging someone else's property, or someone suing you after injuring themselves in your home. Cover for disputes with neighbours over proposed extensions, trees blocking light or TV signal and new fences that end up in court.

Legal cover is an important part of home insurance, which is quite often but not always included with buildings and contents insurance as standard, and even then, any inclusive legal cover may not provide cover for all eventualities - companies often 'include' legal cover for low-risk incidents as standard and then sell on 'Extra legal cover' separately.

Extended Accidental Cover: This covers against DIY accidents, burst pipes, paint spillages, and as such is available as an extra alongside both building and contents insurance, as said accidents can cause damage to both the structural integrity of the house as well as appliances. This level of cover is quite often standard in a lot of policies, but occasionally you will find it listed as a separate option.

All Risks Cover: All risks cover, sometimes but not always included as standard with contents insurance, provides extra insurance for items which you commonly take with you out of the house - mobile phones, portable music players, jewellery, handbags, laptops - so that they are insured against loss, theft, fire and water damage, not just within your house, but wherever you take them.

High Risk Cover: This provides additional cover for accidental damage to specified high-risk items that are not typically covered under standard contents insurance plans. What is defined as being 'high risk' varies greatly between insurers - some will not include cover on standard insurance for items such as mountain bikes for example, whereas other will.

Freezer Contents: Insurers will pay for a fixed amount should the food in your fridge or freezer become inedible as a result of your appliances breaking down. Again, this is sometimes included in contents insurance policies as standard, but not always. Useful to have included should anything happen before Christmas, or if you have a big family meal planned.

Garden Equipment Cover: Protects the contents of your shed against theft and fire damage. As with houses, some buildings contents insurance policies will include cover for the shed itself, but not its contents. Some providers consider the garden to be another 'room' of the house itself and therefore your shed will be covered accordingly. Shed contents are usually not included as standard by either policy, and is usually only really available as an optional extra.

Replacement of Items (Contents Insurance)

New for Old: Contents Insurance cover typically comes with the offer of what is called a new for old guarantee - this replaces lost or damaged items with equivalent new versions at today's prices. For example, a model of mobile phone or iPod bought and insured two years ago might not be available, and so a newer version of a corresponding will be provided.

Some items will not be covered under a new for old policy; items such as clothes are viewed as having a kind of shelf life of a year or so, as opposed to more permanent things such as fridges, TV sets and items of furniture. Check to see what is and isnt covered under a new for old policy.

Indemnity Policy: Whereas a contents insurance policy with a new for old cover plan will provide new replacements for any insured items lost or stolen, indemnity policy pays out for items covered under contents insurance but takes depreciation of value into consideration, as general wear and tear sustained by any items, so that the cost of replacing the item is paid out but with a deduction - for this reason, indemnity policies are popular because they are less expensive than new for old, but in some cases they may not be able to provide you with the cover you need for the contents of your house.

Tenant's Liability Insurance

For tenants: When you are living in rented accommodation anywhere, contents insurance is essential - you wont have to worry about buildings insurance, as your landlord should have this covered. Tenant's liability insurance is often included in the majority of contents insurance policies, but your landlord may insist that you have this kind of cover or will sign up to the cover as part of your contract. Tenant's liability insurance will cover the homeowner/landlord for any damage to the structure of their property by the policyholder, i.e. the person who is renting it out.

For landlords: For those letting property out to tenants, you may be able to get a good deal on your existing buildings insurance - tenant's liability insurance is often included at a discounted rate, or free in some cases. In any case, you should advise your insurance provider that you will be renting your property out to third parties as this may change your policy document and/or the price of your premiums. For landlords, building insurance is essential. It is recommended that you have this kind of cover for damage to the structure of your property; deposit money alone will not be enough to cover for most repair and replacement costs.

Related Frequent Questions:

• Levels of Cover
• How to reduce your premium