When you decide to buy a home, one of the fundamental aspects of a new investment is choosing multi-risk insurance for your home. By doing so, you will be on the right track to ensure the safety of your family, the protection of your housing and your financial stability against possible future accidents.
This type of insurance is usually based on fire and water damage to the building structure. However, you can add some additional clauses, or these additional clauses are already included in the quotes of different insurance companies, and they can guarantee more effective protection for the property and contents of the house.
To make sure that you are choosing the right solution when choosing multi-risk coverage, we share the key points to take into account when making your decision.
Why is multi-risk insurance so important?
First of all, it is important to point out that this insurance is required by law when we talk about horizontal property. In this way, you can guarantee that in case of damage to the property and common parts of the property, the repairs will be covered by your insurance. But be careful! Contrary to what many people think, multi-risk insurance does not always cover so-called household items. If your multi-risk insurance is contracted with a bank that gives you a mortgage loan, in most cases the policy only covers real estate.
Protect your household items
Sometimes, due to lack of information, the insured does not know if the type of insurance taken out covers only the structure of the property, or even the embankment of the house. To avoid costs and losses that could catch you off guard, consider this before choosing your policy.
If this works in your favor, extend your multi-risk insurance to household equipment, ensuring that your physical assets such as furniture, clothing, etc. are protected against possible accidents or theft. But know that the value of your policy can increase with the inclusion of home contents insurance!
With complementary multi-risk insurance, if an accident occurs, the insurer will reimburse you for the insurance funds, so it is recommended to update the amount every 4 or 5 years.
6 Must include multi-risk insurance coverage
You can include a range of options in your insurance to make it as comprehensive as possible to protect the structure of your home and its contents.
1. Water damage
Damages caused by the water and sewage distribution network are covered by a homeowner’s policy. Please note that moisture related issues are outside the scope of this.
2. Fire:
Damage caused by smoke, heat or fire, possibly also by explosion or lightning, is one of the main guarantees.
3. Storms and floods
Severe weather conditions, such as rain and high winds, can cause enormous damage to your home and property. Take into account the guarantee of the policy you choose, since damage to doors, windows, etc. they are not covered in most cases.
4. Seismic phenomenon
In most cases, the lenders themselves must provide earthquake insurance for their policies, especially in areas of the country that are more prone to earthquakes.
5. Theft
Anything involving theft and any damage to property may result in compensation from the insurance company. This case is especially useful for protecting your household items.
6. Civil Liability
In these cases, the insurance covers damage caused unintentionally to a third party. As of today, multi-risk policies, civil liability insurance, even accidents caused by children and animals are already included in the base price. For example, if a dog runs away from home and causes an accident on the road, the responsibility for the accident lies with the owner of the dog. However, if your home’s multi-risk insurance includes civil liability coverage for pets, the claim will be covered by the policy up to a certain amount. The same thing happens to children who cause trouble for others.
As you can see, there are a wide variety of options to guarantee the level of protection you want and to adapt to your needs and the characteristics of your home. For more detailed information, have the support of DS SEGUROS professionals who will help you choose the best multi-risk insurance for you.
