Home insurance is the insurance cover that offers your home protection, but it’s available in a number of different forms and for some customers this can be confusing. Some people will just buy a full home insurance policy, including buildings and contents insurance because they’ve been told they need home insurance, without understanding exactly what it covers, and why they need it.
There will also be a number of customers who will try to get away with just buying contents insurance, or just buying buildings insurance, thinking that it will cost them less and give them the same level of cover.
There are many different residential scenarios which require different levels of cover, and we’ve tried to run through the most common so you can make sure you’ve got the right cover.
Own and live in your own home
If you own and live in your own home you are responsible for both the structure and contents of your home, and should have a full home insurance policy, with both contents and buildings insurance.
Own and live in your own home but through leasehold
Most common in blocks of flats, but also possible in a house, if you own your home but have a management company or someone else owns the freehold of your land or building you will definitely need contents insurance, but may find that the management company or freeholder are responsible for your buildings insurance, and that it makes up part of the cost of your management fees. Check the wording of your contract before not buying buildings insurance as not every situation is the same.
Own your own home and rent it out
If you own a home and rent it out you’ll need buildings insurance, and a small level of contents insurance to protect the carpets, furniture in the home you own and the furnishings like wallpaper, curtains and lampshades.
Rent a home
If you rent your home you’ll just need contents insurance, and your landlord will be responsible for the buildings insurance.
Rent a room in a house as a student
If you rent a room as a student then you will just need student possessions cover for just your room, your buildings insurance will be covered by the landlord.
Rent a room in a house with friends
If you rent with friends you should make sure you have contents cover between you for the whole house. Buildings insurance will be taken out by the landlord.