Whether you own your home or rent it, one thing is certain—your home and your belongings are among your most valuable assets. Having the right insurance not only protects you from financial loss, but it also gives you peace of mind when the unexpected happens.
But with so many options available—home, contents, landlord, renters, strata—how do you know which cover is right for you?
Let’s break it down.
🧱 Home Insurance (Building Insurance)
If you own your home or are paying off a mortgage, home insurance is essential. It covers the structure of your house or apartment—including the main building, garage, sheds, and permanent fixtures like built-in wardrobes and kitchen fittings.
Many policies also cover:
- Rebuilding costs
- Temporary accommodation
- Legal liability if someone is injured on your property
💡 Tip: If you're in a flood, cyclone, or bushfire-prone area, make sure your policy includes cover for those specific risks—not all do by default.
📦 Contents Insurance
Contents insurance protects your personal belongings from damage, theft, or loss. This includes furniture, electronics, clothing, appliances, and valuables—even if you're renting.
You can take out contents insurance as a standalone policy or bundle it with home insurance for more complete protection.
🏠 Home and Contents Insurance
A combined policy offers the benefits of both home and contents insurance in one package. It’s usually more cost-effective and easier to manage under one provider.
🔑 Renter’s or Tenant’s Insurance
If you're renting, you still need to protect your belongings. Renter’s insurance is a low-cost contents policy that offers coverage for fire, theft, and other events. Your landlord’s insurance won't cover your personal items.
🏢 Landlord Insurance
Renting out a property? Landlord insurance protects your investment. It typically includes:
- Building insurance
- Loss of rental income (due to damage or tenant default)
- Liability protection
- Some policies even cover tenant damage and legal expenses.
🏘️ Strata Insurance
For apartment owners or those living in strata-titled properties, strata insurance is mandatory. It covers common property like shared walls, roofs, foyers, and lifts. It’s typically managed by the body corporate, but knowing what’s covered can help you decide if you need extra contents or liability cover.
💡 How to Make Sure You're Not Underinsured
One of the biggest risks in home and contents insurance is underinsurance—having too little coverage to fully replace your home or possessions if disaster strikes.
Ask yourself:
- What would it cost to completely rebuild my home today?
- Can I afford to replace all of my belongings at current prices?
- Have I factored in supplementary costs like temporary accommodation, architects, and debris removal?
Use an online rebuilding cost calculator or speak with your insurance broker to ensure you’re not left covering the shortfall out of pocket.
📈 What Affects Your Insurance Premium?
Your premium (the price you pay for insurance) is calculated based on risk. Here are some key factors:
- Your location (including flood/fire risk)
- The type and age of your home
- How your home is used (e.g., residential vs. home office)
- Construction materials
- The sum insured and excess you choose
- Safety features (alarms, locks, etc.)
💡 Bonus: Many insurers offer discounts for things like bundling policies, staying claim-free, or being a long-term customer.
🔄 Policy Types: Total Replacement vs. Sum Insured
There are two main types of coverage:
- Sum Insured – You choose a maximum amount your insurer will pay (based on your estimate).
- Total Replacement – Covers the full cost of rebuilding your home, no matter the final cost (usually more expensive, but offers better protection).
Don't forget to review and update your sum insured regularly—especially after renovations or upgrades.
⚠️ Maintenance Matters
Insurers expect homeowners to maintain their property. Neglect (like leaky roofs or old wiring) could void parts of your cover. Stay on top of repairs and keep records just in case you need to make a claim.
📋 Choosing the Right Policy
Some policies are “defined events” (covering only listed events like fire or theft), while others offer “accidental damage” cover, protecting against a wider range of mishaps. You may also have the option to add on extras like motor burnout, portable items, or flood cover.
Take time to compare policies, understand what's included and excluded, and read the Product Disclosure Statement (PDS) carefully.
💰 Final Thoughts: Don’t Just Look for the Cheapest Policy
When it comes to insuring your home and belongings, the cheapest option isn’t always the best. A well-chosen policy can save you thousands and help you rebuild your life with less stress.
✅ Protect your home.
✅ Insure your belongings.
✅ Review and update your cover regularly.
Need help choosing the right cover? A licensed insurance broker can help you understand your options and tailor a policy that fits your needs and budget.
