Buildings Insurance

When insuring your home, you normally need insurance for the buildings and for its contents.Buildings insurance covers the structure of your home (windows, walls, roof and so on) as well as permanent fixtures and fittings (such as baths, toilets, kitchens etc).

Generally it also covers damage due to fire, lightning, explosion or earthquake, riots or vandalism, theft (or attempted theft), falling trees, storms or flooding, subsidence, moving objects (such as a car hitting your home) and escaping or leaking water or oil (say from a tank or pipe) your legal liability as an owner of the property, for example liability for damage caused to someone else's property, damage to underground cables that supply gas or electricity, or pipes that supply water or sewage. You can also pay extra to extend accidental damage cover to a wider range of problems.

Accidental Damage

Accidental damage cover on a buildings policy protects against damage you cause to your building or fixtures and fittings.

Standard policies include some limited cover, for example for accidental damage to glass in doors, windows and skylights, and damage to bathroom fittings such as baths and sinks.

Do I need it?

If you have a mortgage, your lender will usually insist you take out buildings insurance. If you're a tenant, your landlord should normally arrange a policy. In other cases, buildings insurance is not compulsory, but you'd be unwise to do without it. 

Calculating Cover The amount of cover you need is based on the cost of rebuilding your home. This should include the cost of demolition (if required), clearing the site and any architects' and builders' fees to replace the property. The cost of rebuilding your home is not the same as the market value of it (how much it would fetch if you sold it). To help calculate the cost of rebuilding, the Association of British Insurers has an online calculator which you can use to help work it out. If your home is not of 'standard construction' (which usually means brick walls with a tile roof), you may need to use a chartered surveyor to conduct a valuation for insurance purposes. You can find a surveyor at The Royal Institute of Chartered Surveyors website.

Expert Advice

At Money and Mortgages we have dedicated advisers who can answer your questions. Contact us for more information or a no-obligation quote on 0845 094 9260. Alternatively use our online quote form or send us an email.