One of the biggest investments that you make in your life is your home. Therefore, it is also important that you protect your home. Buying a home insurance policy can help you do that. Many people dont understand the importance of buying home insurance. Home insurance offers protection to your home from unforeseen events that might happen to your home.
What is home insurance?
Home insurance is also known as homeowners insurance or hazard insurance. It is a type of property insurance that protects individual homes. Home insurance is a specific type of policy that consolidates different types of individual insurance protections. This insurance can cover loss of use, damages occurring to the home and its contents or individual belongings of the homeowner. It also works as a liability insurance coverage that protects the homeowner from accidents that might occur at the home for which the homeowner is responsible. It is necessary that minimum one individual named in the policy lives in the home.
Home insurance is a multi-line policy and comprises property and liability coverage. The premium is inseparable which signifies that you need to pay only a single premium to cover all the risks.
Home insurance in India
Owning a home was a distant dream in India due to poor living standards. However, with the improvement of the living standards of people, the real estate prices started rising drastically. So it is still a distant dream for many people. However, if you have a home, then you should definitely do something to protect it. Your home should be considered as the biggest asset in your life. Home loan providers have made it compulsory to buy home insurance when customers are looking for home loans in India. Home insurance companies in India offer plenty of options to guarantee the security of your prized possession. The industry is expected to grow since it is interrelated to the home loan industry in India which is growing at a fast pace.
Coverage provided by home insurance policies
A home insurance policy typically offers coverage in the following areas:
-
Burglaries and thefts
-
Earthquake
-
Fire
-
Explosions
-
Floods
-
Lightening
-
Impact damage
-
Aircraft damage
-
Damages created by riots and terrorism
-
Damages created by storm
-
Landslides
-
Missile testing activities
-
Bushfire
To be precise, home insurance policies protect you from both natural and man-made calamities.
How home insurance premium is calculated in India
Home insurance premium in India is calculated by taking into consideration the following factors:
-
Area of the home
-
Location and surroundings of the home
-
Estimated construction rate
-
The type of policy
-
The payment term of premium (for example yearly, quarterly, monthly or half yearly)
Home Insurance Companies in India
Given below are the names of the reputed home insurance companies in India:
-
Bajaj Allianz General Insurance Company Ltd
-
ICICI Lombard General Insurance Company Limited
-
IFFCO-TOKIO General Insurance
-
National Insurance Company Ltd
-
New India Assurance Company Ltd
-
Royal Sundaram Alliance
-
Tata AIG General Insurance Company
-
The Oriental Insurance Company Ltd
-
United India Insurance Company
|
|
