Home Insurance policy is one which offers protection for the structure and contents of a home. Buying a home insurance is not much of a priority for many, while some others are not even aware of its existence. This article aims to elucidate on why taking a home insurance cover is important by offering five reasons as a case in point.

# 1 Cover against natural calamities: Regardless of where one lives, natural calamities have become a part and parcel of life due to climate change. Urbanization has made earthquakes a common occurrence while floods and cyclones have been striking with alarming frequency across the globe. The aftermath of such natural calamities is that the houses of most of the population is either damaged or is destroyed. Having a home insurance helps the home owner cover the loss or damage on property and provides them with the money for repairing or rebuilding. Therefore, home insurance plans help in mitigating the losses suffered due to natural calamities.

# 2 Cover against damage to property or damages due to property: Home insurance offers protection for any damage that occurs to a house due to guests or others third parties who reside in it. Additionally, a home insurance policy covers any cost which may be incurred due to the property causing harm to guests or others residing in it. For example, if a building collapses and a guest is injured, a home loan policy will cover the medical or legal expenses which arise.Hence, possessing a home insurance plan will stand in good stead in such times.

# 3 Covers temporary living expenses:When there is repair or renovation of a property which has a home loan cover, the insurance also covers the temporary living expenses incurred by the insured owner. This is especially useful in times of natural calamities and for old buildings which get repaired or resurrected. Given that housing and the related costs are the biggest burners of anyone’s salary, this coverage of costs for temporary living is one of the biggest advantages which a home insurance provides the insured.

# 4 Covers against man-made disasters:In today’s world, man-made acts of terror and violence are rampant. A home insurance not only protects against natural calamities but also offers protection for the structure and contents of a home against man-made disasters. This includes violent acts of terrorism, vandalism, anti-social strikes, riots, and any such man-made act which causes damage to the property. Any protection against such human calamities is a must-have for every home owner!

# 5 Covers for loss or damage to important assets which are in the house: A home insurance cover not only offers protection against damages done to the structure of a house, but also to any valuable possessions which are in the house. Examples of valuable possessions include important documents, certificates, jewellery, furniture, clothing, kitchen equipment and other appliances, and any item of value which has undergone irreparable damage or loss due to the damage to the house in which it was kept.

As can be seen, there are a plethora of benefits provided by a home insurance plan. Furthermore, many banks prefer to give a home loan only when the borrower possesses a home insurance as it also acts as a protection for the bank’s liabilities. The reasons to buy a home insurance plan are not just compelling but also relevant in today’s world. One can easily buy a home loan from any of the leading providers, as a consequent ensuring complete protection for their property and everything contained in the property!

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