Buildings insurance can help pay to repair or rebuild your home if the structure is damaged by an insured event.
Buildings insurance is cover for the structure of your home. It can help pay to repair or rebuild the property if it is damaged by an insured event.
It usually covers parts of the home such as the walls, roof, floors, windows, plasterwork and permanent fixtures. A fitted kitchen or bathroom suite may count as part of the building, depending on the policy. The ABI explains buildings insurance as cover for the physical structure of the home.
Buildings insurance is not the same as contents insurance. Contents insurance is for your belongings, such as furniture, clothes and other items you would take with you if you moved.
If your home is damaged by something covered by the policy, you can make an insurance claim. Common causes can include fire, flood, storm, escape of water or subsidence, but the exact cover depends on the insurer and policy wording.
Most policies include an insurance excess. This is the amount you pay towards a claim. MoneyHelper says home insurance excesses can vary, and some claims, such as subsidence, may have a higher excess than other types of claim in the buildings insurance guide.
Some policies may also include garages, sheds, outside walls, driveways or alternative accommodation. These features are not always included, so you should check the policy wording before you buy.
Buildings insurance is not usually a legal requirement. But if you have a mortgage, your lender will normally expect you to have it in place. MoneyHelper also says leaseholders may need cover through the freeholder, service charge or a joint arrangement, depending on the property set-up.
If you rent your home, buildings insurance is usually the landlord’s responsibility. Tenants normally arrange contents cover for their own belongings.
If you let out a property, a standard home policy may not be right. You may need landlord insurance or landlord buildings insurance instead.
Your buildings sum insured should usually be based on the cost of rebuilding your home, not its market value. The rebuild cost may be lower or higher than the price you could sell the home for.
Citizens Advice says buildings insurance should cover the full cost of rebuilding, which can include demolition, site clearance and professional fees in its buildings insurance guidance.
If the sum insured is too low, the insurer may not pay the full claim. This can apply even if only part of the home is damaged.
Buildings insurance is not the same as home maintenance. Policies often exclude wear and tear, poor maintenance and damage that happens slowly over time.
The Financial Ombudsman Service explains that insurers often rely on a gradual damage exclusion where damage has built up over a long period.
Storm claims can also depend on the evidence. The Financial Ombudsman Service looks at whether storm conditions happened, whether the damage is consistent with a storm, and whether the storm was the main cause in its storm damage guidance.
At Got You Covered, we can help arrange home insurance for a range of properties, including some homes that may need a more specialist approach.
This can include homes with flood risk, subsidence, unoccupied periods, or listed building status. Cover, price and acceptance depend on the property, the details you give, the insurer and the policy terms.
Buildings insurance protects the structure of your home. It can help with repair or rebuild costs after an insured event, but it will not cover every type of damage.
Before you choose cover, check the rebuild cost, excesses, exclusions and any special conditions that apply to your property.
