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Household contents insurance: Targeted coverage of the most important location

home insurance what is insured tips

There is a small fortune in every household. Everyday objects, decorations and furniture, electronics, valuables. This inventory can lose its value or be lost in the event of fire, water damage or burglary. Do you want or can you pay for this loss financially? – Household contents insurance covers the damage incurred.

Household contents insurance: a guarantee for your home assets

Household contents insurance Basic coverage, individual risk analysis important

When it comes to insurance, the devil is in the details. What exactly is insured? In which extensive? With which exclusion clauses? – The home contents insurance covers damage caused by fire, tap water, direct lightning strikes, storms, hail, burglary and burglary vandalism.

Each of these events can cause immense financial losses. That is why home contents insurance is one of the most widespread types of insurance. In Germany have loud Statista 51 million people took out such insurance (as of 2017).

Basic coverage is good, specialization is better

Household contents insurance Made-to-measure what covers which components

Many owners of home insurance believe they are in comfortable security. But the basic coverage is narrowly defined. If heavy rainfall floods your basement and destroys all the items stored there, home contents insurance with limited coverage will not cover the damage. Basic household insurance does not pay for damage caused by landslides, floods and snow loads.

These losses in value caused by storms fall under the term natural hazards and can be partially or fully insured by you. The scope of insurance should always be based on a risk analysis.

Set risk priorities

Household contents insurance can be ready-made or made-to-measure. The basic coverage leaves out personal risk priorities. An example: You own an expensive e-bike. If this e-bike is stolen from the locked cellar, the basic household contents insurance pays for the loss.

If, on the other hand, the thieves strike in front of the cinema center, you will usually not receive anything – unless you agree on additional bike protection in your insurance. For a 1000 euro bike, the annual surcharge is between 30 and 40 euros.

Household contents insurance regional differences in the level of benefits

Regional differences in performance level

Household contents insurance with personal protection options is called linked household contents insurance. They are preferable to insurance with basic coverage if they are based on your personal risk profile.

However, there are regional differences here: For example, you will find it difficult to find an insurance company in a notorious floodplain that is willing to take out flood-covered household insurance.

Safe place of residence, lower contribution

The costs of household contents insurance depend on the risks insured, the size of the apartment / house and where you live. If you live in an area where the fox and the rabbit say good night, you pay significantly less insurance than in Frankfurt am Main.

This becomes clear at the Comparison of two small German medium-sized towns: Ettlingen and Uelzen. In the residential area of ​​Baden-Württemberg, home contents insurance costs 45 euros a year for an 80 square meter apartment. For a comparable property, the policyholder in the Lower Saxony municipality has to pay 56 euros per year.

Moving household contents insurance within Germany, three-month transitional protection

Protection outside the four walls

Good home insurance is not limited to the assets within your four walls. If you move within Germany, you enjoy three-month transitional protection for both apartments. Damage costs are also covered proportionally outside your home, for example in a hotel. If your children move into their own apartment during their training or studies, Household contents insurance also protects their inventory.

Exclude gross negligence

It has already been said: the best home contents insurance is created through your own customization. You insert many components according to your own risk weighting – for example the bike protection for your expensive e-bike. Other components are a must-have.

It is also often advisable to add the addition to the contract “Waiver of the objection of gross negligence”. Legal German means: In cases of damage caused by gross negligence (windows not closed, candles lit), the household insurance pays anyway. Make sure that you do not limit yourself to paying partial amounts.

Estimate the insurance value or determine a flat rate

Estimate the insurance value or determine a flat rate

Household contents insurance is based on your assets. Estimating the sum total of their current and fixed assets is overwhelming for most people. Often these sums are then estimated at a lower level – because the amount of the sum insured determines the amount of the insurance premium. In the event of damage, there is a rude awakening when the household insurance only pays for half of the loss.

With the clause “underinsurance waiver” you avoid such horror scenarios. In this case, the insurer sets a uniform sum insured per square meter – usually 650 euros.

Household contents insurance Costs per square meter of sum insured