The importance of having adequate insurance
If you don’t review and update your insurance cover annually, you could be left seriously out of pocket if the unthinkable were to happen. Even though most insurers increase customers’ sums insured annually in an attempt to keep pace with inflation, over the course of time, a gap can still develop between the estimated rebuilding or replacement costs and the actual costs, leaving you underinsured.
In reality, we never stop adding things to our homes – inside and out – and building costs continue to rise. So it’s crucial to review your Home Buildings and Contents insurance regularly to ensure that you have adequate cover.
If you have completed renovations or extensions or bought expensive furnishings like a new home theatre system, make sure the value of those improvements is included in your home insurance policy.
Remember, when evaluating your sum insured it’s important to consider:
- The cost of rebuilding your home today, rather than what it originally cost to buy or build;
- The style and materials used in construction;
- Any renovations or new purchases like electronic equipment, furniture, and jewellery.
For help with your sum insured, you can either contact a builder for an accurate assessment, or use buildings and contents calculators to estimate costs. Most insurers offer an online calculator to help you estimate the replacement value of your buildings and/or contents.
Northern Inland has partnered with award winning insurer Allianz to provide our members with quality insurance cover. Through Allianz, you can expect a broad range of covers. Speak to our friendly staff on 02 6763 5111, visit the insurance page of our website or drop into your local Northern Inland branch for an obligation-free quote.
Disclaimer:
The above article was written by Northern Inland’s partner Allianz.
Northern Inland Credit Union Limited ABN 36 087 650 442 AFSL 235022 arranges this insurance for the insurer Allianz Australia Insurance Limited ABN 15 000 122 850 AFSL 234708 and not as your agent.
We do not provide any advice based on any consideration of your objectives, financial situation or needs. Before making a decision about this insurance please consider the relevant Product Disclosure Statement available on 02 6763 5111 or www.nicu.com.au.
Terms, conditions, limits and exclusions apply.
If you purchase this insurance, we will receive a commission that is a percentage of the premium. Ask us for more details before we provide you with services.
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