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Home & Contents Insurance

Valuable Items
Valuable items such as jewellery, paintings, furs and collectables will only be covered up to a certain amount. If you want these items covered for their full value you will need to specify them separately on the policy.

Tree/Plant Cover
Some building policies provide for limited cover for your trees, shrubs and plants should they incur damage as a result of fire or impact by vehicles other than your own.


Sum Insured
The amount of insurance you have purchased to cover your home, your contents and/or your portable personal effects.


Specified Items
Items such as jewellery, paintings, antiques and collectables that should be listed separately on your policy.


Situation of Risk
Means the street address at which your home and/or your contents are located.


Replacement Value
The amount it would cost to replace all your contents at current prices.


Removal of Debris
The removal of any building or content debris that occurs as a result of accidental damage or an insured event.


Online Services
Many insurance companies enable you to obtain quotes from their websites. Not all insurers offer this functionality but instead provide quotes over the phone. Some insurance companies even allow you to apply for your insurance as well as renew your policy online.


No-claim Discount
This works in much the same way as a no-claim bonus for your car. The insurer may reward you for making no claims on your home and/or contents policy by discounting your premium when you renew your policy.


New for Old Replacement
This is when your contents are covered for their full replacement cost at today's prices. The alternative is for the insurer to cover the contents for their market value.


Multiple Policy Discount
Many insurers offer a discount for taking out more than one policy with them, for example a discount may apply if you take out both home and contents insurance with the same insurer. By taking out a car insurance policy as well, further discounts may apply.


Misuse of Credit Cards
Some contents policies provide cover up to a certain amount if your credit card is lost or stolen and then fraudulently misused.


Malicious Damage by tenants
The intentional act of a tenant to cause malicious damage.


Loss of Rent Cover
This can be part of a building policy and covers any loss of rent incurred by landlords should the building become uninhabitable to tenants due to damage or loss. In some policies it also refers to the rental costs provided to the owner for temporary accommodation should the place of residence become uninhabitable. The policyholder can never claim for both loss of rent AND alternate accommodation costs on the same section of the policy.


Lock Replacement
Provides for the costs associated with replacing a lock if either a key or lock to an external door or window is stolen.


Legal Liability - Home Insurance
This covers you and your family against any claims that occur as a result of negligently causing bodily injury, death or damage to another party's property. Liability cover under a Contents policy includes incidents that occur both at your home and outside it (usually anywhere within Australia - check the policy for the coverage offered). Liability cover under a Building policy only covers you for incidents that occur within your home or on the site.


Landlord's Fixtures and Fittings
Some building policies will cover carpets, curtains and blinds, collectively known as landlord's fixtures and fittings, if the building is rented out to tenants.


Fusion
The actual burning out of an electric motor or its wiring caused by the electric current in it. Therefore the item you are claiming on must have a motor for the claim to be successful. Common items that may be subject to a fusion claim include washing machines, refrigerators, clothes dryers, freezers and pool motors.


Food Spoilage
When the food in your freezer and/or refrigerator spoils as a result of loss or damage.


Excess - Car Insurance and Home Insurance
This is the amount payable by you in the event of a claim. Insurers normally deduct the amount of any excess before they pay your claim.


Domestic Workers' Compensation
This provides cover for injury to any person employed by the property owner to carry out a domestic task, such as ironing, cleaning, gardening etc. This cover is not intended to cover, nor can it be used to cover employees whom the insured employs in their business rather than in a domestic capacity.


Deliberate Acts by tenants
A deliberate (though not malicious) act by a tenant that results in damage, for example creating a hole in the wall after hanging a picture up.


Defined Events Policy
A Defined Events policy covers you for loss and damage caused by a list of specific events. Some of the most common events usually covered are fire, lightning, earthquake, storms, hail, malicious acts and theft. Depending on the policy, you may be covered for a fairly comprehensive range of events - some policies cover over fifteen specific events. Defined Events policies are the most common type of policies offered by insurers.


Contents
The domestic contents belonging to a policyholder, or the contents for which they are liable. These include:




Building Replacement Value
The amount it would cost you to totally rebuild your home at today's prices, including any home improvements you have made.


Building
Any residential building, can include any offices and surgeries within the house or unit and;




Alternate Accommodation
Many insurers provide for accommodation costs in their Home and Contents policies. If your home becomes unfit to live in due to loss or damage the insurer will cover the costs for alternate accommodation while your home is under repair or being rebuilt. The amount provided for is usually equal to the rentable value of your home. If you are a tenant you will only be covered for the amount above your normal rental costs.


Accidental Glass Content Breakage
The accidental breakage of glass contents or glass forming part of contents. Glass contents may include such things as light fittings, glass in furniture and mirrors. It does not usually mean glass in televisions or VDU's or small glass items such as crystal and ornaments.


Accidental Damage Policy
This type of policy covers accidental damage and loss - most policies are not of this type. The policyholder's cover is not limited to a range of events as specified in a Defined Events policy. It is a much more comprehensive policy and therefore costs more than a Defined Events policy. An Accidental Damage policy covers you for specific (defined) events as well as accidental loss and damage for example if you drop your television set while moving it and it breaks. Not all insurers offer Accidental Damage policies.



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