Buildings Insurance- What are the perils covered
Although all online Buildings Contents insurance policies are unique, they all follow a similar list of “perils” that are covered. These insurance perils have been developed over a period of time, often as a result of some catastrophe or event. To a certain extent, the cover under a home buildings insurance policy, is governed by the requirements of the Council of Mortgage Lenders requirement who specify that a certain variety of perils in force for a home insurance UK. As most lenders are members of the Council, insurers know that if they do not offer a wide enough range of perils then loans will not be able to be secured on property and thus their policy will be acceptable. Home insurance policy wordings are thus fairly standard and some of the perils covered are listed below.
Perils – as mentioned above all insurers policies are unique in certain ways, but the following is a fairly typical list of covers:-
- Fire, explosion, lightning, earthquake, impact by aircraft, road vehicle or animal.
- Theft or attempted theft, falling aerials, oil leaking from a central heating system.
- Riot and civil commotion. Storm, tempest, flood.
- Escape of water..
- Subsidence, landslip or heave.
- Accidental Damage to underground water, oil, gas or sewage and drain pipes and to underground telephone or communication cables
- Breakage of fixed glass in windows, doors & roofs & greenhouses
- Breakage of glass and sanitary fittings including accidental damage
Architects and Surveyors Fees – this refers to reasonable fees incurred during repairs following damage covered by the policy. It does not include the cost of preparing your claim. The cost of demolition, removing debris or shoring up following damage insured under the insurance policy.
Alternative Accommodation – the cost of reasonable accommodation is covered if you are unable to live in your property following an insured event. 20% of the building sum insured is the usual amount. This cover is usually for a 12 month period, if you have special needs (perhaps your building is listed) you should investigate the possibility of having this cover extended for a longer period. Property Owners Liability – This section of the building insurance policy covers your liability as owner of the Property.
Accidental Damage – A certain amount of accidental damage is included free of charge under a home buildings insurance ( such as damage to fixed glass in windows & doors and sanitary fittings) Full Accidental damage on the building of your home is available for an additional charge.
Sometimes, depending on your circumstances, it may not be possible to obtain the full selection of perils, your property may be in a Flood area and most insurers will be reluctant to provide you with cover. If any of the major perils are excluded, the insurer should point this out to you.
Not Usually Covered – as per usual, most home building insurance policies come with a standard set of exclusions, these should be studied most carefully. The following are typical examples of what is not covered by a building insurance policy:-
- Wear and tear, damage caused by lack of maintenance or faulty design, materials or construction. ( if you home has been built within the last 10 years it will have a National House Building Guarantee)
- Rot, Vermin, Insects, Fungus, Corrosion
- Certain covers if the property is left unoccupied for a length of time ( usually 30 days and the perils of Escape of Water, Theft & Malicious Damage)
- Damage caused by subsidence or heave to walls swimming pools and similar items unless the house or outbuildings are damaged at the same time
- Coastal Erosion.
- Electrical or Mechanical Breakdown.
- War, civil war, rebellion and revolution.
- Sonic Boom
- Radioactive contamination
The above list is of a general nature and you should always refer to the full home policy documents and key facts leaflet for information.