As a homeowner, is your building insurance up to date? What would happen if a cyclone hit your area and took your roof with it? Are you insured?
It is always recommended to review your insurance policy to check what you are covered for. Are you covered for cyclone? Hail? Flood? Bushfire? These are just a few circumstances that you should consider.
If you live in a bushfire area or close to a river or waterway, you should specifically ask your Insurer whether you are covered for building damage and replacement in the event of a bushfire or flood respectively. If not, have it included or change insurer. Natural disasters have been common in the last few months and Insurers are naturally keen to try and exclude insurance therefor, so make sure that you are also covered for natural disasters.
Make sure that you are comprehensively covered for all types of events that can cause damage to your property, building and contents of your house. Don't forget valuable items on your property that may also be included in the shed, basement etc......
If you are unsure regarding your policy and what is included specifically ask the Insurer and have it in writing, email or fax. Just in case the Insurer queries in the future or refuses to pay.
Remember, when estimating the value of your property and rebuilding costs, it is better to over insure than under insure. The premiums won;t be that much different. If you think it will cost $250,000 to rebuild, make it $330,000 instead. This will give you a buffer in case.
If you are unsure, get legal advice.
Comments by Dean Carver - Solicitor and Real Estate Strategist (Sydney) - (02) 9773 4550
