You are moving into a new house, that is exciting! While your stay may only be temporary, you should feel as comfortable and safe as possible.
As a renter in Australia, you may not have to be concerned about protecting the house to ensure the home is insured (that’s your landlord’s job). What about all of your possessions? It might be time to look at an insurance policy to protect the valuable items in your home...the home contents!
What is contents insurance?
As the name suggests contents insurance is the insurance policy you take to cover the personal belongings (the home contents) inside & outside the home if they're damaged, lost, stolen or harmed in any other insured event. Even if the four walls that surround you do not belong to you, and you are living in a rental property, you have plenty of personal belongings that you no doubt hold near and dear that can be protected with contents cover.
So it's a good idea to consider an insurance policy to protect those items. Your landlord will most likely have home insurance or landlords insurance but renters too often forget to consider to protect their valuable items for loss or damage from theft & fire with contents insurance (also referred to as renters insurance.)
Some tenants may feel as though contents may not be worth it as their possessions may not hold many valuable items in their rental property, but if you go through all of your items the replacement costs may be worth more than first thought and replacing them can be a nightmare!
A good idea is to create an inventory of all of your items and tally up their worth. Then ask yourself if you are in a good financial situation to replace them in the worst-case scenario. If the answer is no, it might be a good idea to get contents insurance.
In addition to protecting your belongings, you may seek to upgrade your level of cover with the following optional extras.
Flood cover- Thousands of homes around Australia are affected by bush fires and floods every single year. (Quick fact: Did you know that Queensland is the most natural disaster-prone state in Australia). Depending on where you live in Australia, some Australian insurance policies (including car insurance policies)will include flood cover as a standard feature.
Motor burnout - This optional cover can assist in the repair or replacement of household whitegoods if the motor of the appliance suddenly dies as a result of a power surge or excessive current.
Accidental damage - Most content insurance policies wont cover you for accidental mishaps or breakages to glassware, ceramics or sanitary fixtures. This might be a good idea if you have young children, or if you yourself are particularly clumsy (like me). Your brand new flat screen might thank you as it'll fall under these insurance products.
Portable items- You can also take out optional cover for the accidental loss or damage of portable items that you take out of the home, such as camera or jewellery. Portable items with a high value such as mobile phones and sporting equipment will be need to be specified separately to cover its replacement value and receive the sum insured.
There are many insurance companies, so finding the right insurance policy that suits your lifestyle and budget can take time and plenty of research. You can also reach out to an insurer and get an insurance quote and some general advice, or read up on a financial services guide.
To receive a quick and easy quote for contents insurance, click here