Your house is made of walls and beams, while your home is, perhaps, built with love and dreams.
You have worked harder, saved every rupee to give yourself and your loved ones the security of a habitation. A house that they could call your own.
Purchasing a home is the single most significant investment for most people.
It is a Herculean task that implies a lot of planning, saving and research.
A survey by the National Disaster Management Authority says that 60% of the Indian landmass is prone to quakes and 8% susceptible to cyclones! With the increase in natural calamities, would it help to take up a little expense, to avoid a substantial financial setback in the future? You may think that it is a dissipation of money as it is a certain investment in an uncertain cause.
Nonetheless, with the increase in natural calamities, it is a good idea to take up a little expense to avoid a substantial financial setback in the future. It may help to secure your most valuable asset from any possible kind of natural or man-made calamity. Furthermore, it also protects you from liability lawsuits like property-related lawsuits. Some home insurance policy may cover the unfortunate incident of you accidentally damaging some else’s property, like in the event of a fire or mechanical damage.
Isn’t your home a place where you and your family rejoice, you weave so many memories, which last for a lifetime? While you put your life’s savings into buying or constructing a house, but you don’t realise that your house may need protection also. It would help to invest in a good home insurance policy, also referred to as homeowners insurance. Burglary, fire, earthquake, cyclone, flooding or destruction of a house due to riots are quite usual in India. Why should you wait for a calamity to remind you of the need of buying home insurance, opt for it ahead!
Some of the main points to remember while insuring your home are:
1) The basic insurance coverage of your house has three components:
- b) the building and
- c) the locality costs.
Your insurance will cover only the building cost.
- 2) Insurance Coverage decision: This is an important point that people forget while taking their home insurance and waste a lot of money for years. Let’s say that if the market value of your house is Rupees two crores, of which the building cost is Rupees sixty lakhs, your policy will insure only Rupees sixty lakhs. In case of a claim, the insurance company shall pay only for this amount! Then why should you waste your money on a premium for covering Rupees 2 crores!
- 3) The public liability cover is an add on feature that compensates you against any compensation during litigation due to property damage, or any bodily injury of any third party. Additionally, it will also compensate for the medical expenses of a guest injured on your property.
- 4) Baggage coverage compensates you for any loss or damage or theft of your baggage while you travel anywhere in India.
5) An impressive coverage is when you are robbed of cash, when you withdraw money from a bank branch or an Automated Teller Machine (ATM), on your way back home.
What I have covered are the do’s and don’ts only. I have tried to explain that you must take home insurance with the above features so that any such substantial financial loss, doesn’t set you back financially. Any such eventuality should not burn a hole in your pocket, that is now full of dreams.
Your dreams and ambitions, to secure a prosperous and wealthy life for your happy family, should not be shattered.
A comfortable home, maybe your sweet home, stay secured in there!