Home owners ‘could save €340 on insurance’

HOMEOWNERS could save up to €340 on house insurance by shopping around, the Irish Financial Services Regulatory Authority (IFSRA) said yesterday.

IFSRA’s latest in a series of surveys of financial services costs reveals that homeowners can cut home insurance costs in half by doing a little research.

The regulator, responsible for the regulation of all financial services firms, also listed a number of dos and don’ts in its three-page report. Among the dos are:

Do get quotes from as wide a range of companies as possible and through as wide a range of sources as possible, for example, through a broker or direct by phone, in person or by internet.

Do take account of what each policy offers including extra cover or benefits and/or any exclusions.

Do take account of any discounts you might be entitled to. For example, some companies give discounts if you are over 55, others if you are over 60.

Do check the likely cost of rebuilding your home and the value of your contents to make sure you are not under or over-insured.

Among the don’ts were:

Don’t skimp on the shopping around.

Don’t forget that you are the purchaser in the transaction. You may be able to bargain for a better deal.

Don’t be tempted to under or over-insure your buildings or contents. If you under-insure any claim will usually be reduced by the percentage you are underinsured.

You should also be aware if you over-insure you will only receive the actual cost of rebuild, repair or replacement - no more.

Home owners should get all the required information by asking questions to enable them compare policies.

Questions to ask include:

What is the premium? What level of cover does it give me on my buildings, contents and all risks?

Would I get a discount on my premium for any of the following; burglar alarm, smoke alarm, no previous claims, my age, having another policy through this company etc?

Does the policy cover me for accidental damage to my contents? For example, if I let something fall and damaged it, would I be able to claim? Do I pay more for this cover?

If something in my home is part of a set and is damaged, will my policy allow me to replace the whole set or will I have to find a good match?

Does my policy cover me for any injury that might be caused to someone while working in or around my home?

Does my policy cover me for flood damage and/or subsidence?

See full survey results on: www.ifsra.ie

Lo-call 1890 77 77 77.