In the event of a claim, home insurance protects your home, your family and your belongings. However, to be sure to benefit from adequate coverage, it is important to subscribe to a plan that is truly in line with your specific needs and situation.
In this context, our experts share with you 5 major criteria to take into account before signing.
1. Guarantees included in the home insurance contract
Independently of the other components of the home insurance contract, the warranties determine the coverage that applies in the event of a claim.
For this purpose, the guarantee public liability is mandatory if you are a co-owner or tenant. And although it is optional for owners living in their own accommodation, it is preferable to subscribe to it. It is in fact what covers you in the event of damage caused to others by the fact of your good.
In addition to civil liability, consider including the following guarantees depending on your priorities:
Movable property ;
Water damage ;
Theft and vandalism;
Real estate ;
Natural disasters ;
Glass breakage and fire.
Note that each insurer applies its own criteria to each guarantee. It is therefore recommended to go through the conditions mentioned in the contract in order to avoid any unpleasant surprises.
You can subscribe to a tailor-made contract if you have specific needs. This is the case if you employ house staff, if you have a swimming pool, a wine cellar, etc.
A disclaimer of warranty is a loss not covered by the contract. It can take two forms: formal exclusion and indirect exclusion.
The formal and direct exclusion must be explicit and legible. As for indirect exclusion, it alludes to guarantees released under certain conditions. For example, the insurer may require the installation of an alarm for theft coverage.
Read also: Liability insurance: what is it?
2. The waiting period
The waiting period is a kind of buffer period following the signing of your insurance contract during which your coverage is not active, while you are already contributing. This trough period varies from one insurer to another. This means that if you are the victim of a claim during this period, you will not be compensated.
Note that this period is not practiced by all insurance companies. But if a waiting period is actually imposed, find out its duration in the Terms of Sales.
Important : The waiting period is often confused with the compensation period. The latter relates, for its part, to the time that elapses between the declaration of the claim and the reimbursement.
3. The deductible on your home insurance contract
In insurance, the deductible designates the amount to be paid by the insured in the event of a claim. It is included in almost all insurance policies and can take one of two forms.
The absolute frankness
This amount is systematically deducted from your allowance in case of calamity. For example, if the latter amounts to 200 euros and the deductible is 50 euros, you are reimbursed up to 150 euros. If the amount of the claim is less than or equal to the deductible, you will not receive no compensation.
It determines the intervention or not of the insurer according to the expenses necessary for the repair of the disaster. If the total amount is less than the deductible, you will not receive any compensation. On the other hand, if it is higher, you benefit from a full refund.
In either case, the contract is more advantageous when the deductible is low. Moreover, some insurers go so far as to offer contracts without franchise.
4. Compensation methods and limits
The compensation ceiling represents the maximum amount which you can benefit from for a refund. The higher it is, the better. However, beware of ceilings that are a little too enticing. Always compare them to other offers on the market to be sure.
The method of compensation is based on the value of your goods: deducted or new. In the first case, the reimbursement takes into account the depreciation of the property due to its wear and tear. On the contrary, the second mode guarantees you a refund up to the amount of the new value of your good.
5. Home insurance premium
The insurance premium is the amount of your annual subscription. The more guarantees included, the higher the premium is likely to be. It is therefore necessary to sort out the necessary cover to adapt the premium to your portfolio.
Apart from guarantees, other criteria can impact (down or up) the cost of your insurance:
Housing type ;
Location (risk areas);
Value of the goods to be covered in the event of a claim;
Insured profile (claims prior to subscription);
Performance of installed security devices (case of theft), etc.