A Basic Guide To Home Contents Insurance

Basically, home contents insurance is insurance protection against the replacement cost that you would otherwise have to pay to replace the contents of your home in the event of then being lost, damaged or stolen. As is the case with home buildings insurance, the main factors contributing to grounds under which you can make a claim against your home contents insurance include theft/burglary, damage due to floods, burst water pipes or boilers, etc.

There are, however, two very important factors that you need to keep in mind when insuring the contents of your home:

First, in the case of home contents insurance, it is rarely the case that your mortgage provider is going to insist that you have this type of insurance as part of your mortgage agreement;

Second, regardless of whether you own or rent the property you are currently living in, you should still be looking to insure the contents of your home – as these are your personal possessions.

Two further aspects of home contents insurance also need to be considered carefully when you are checking out the different kinds of policies on offer. In some, but not all, cases you can be insured for your home contents even when the items listed in your home contents insurance policy are not actually physically located on the home ‘property’. So, for example,

First, it is possible to claim when you are transporting items from one place to another and they are stolen.

Second, home contents insurance is insurance against the replacement cost of the item being insured.
It does not, nor is it intended to, insure you against the nostalgic value of the item damaged/lost. So, for example, if you insure a picture your deceased grandmother gave you, which would cost £20 to replace, it makes little difference that it was your deceased grandmother who gave it to you and that it cannot, therefore, be replaced.

Although home contents insurance is, in all but a few very rare circumstances, a completely voluntary scheme of insurance to subscribe to, if you are in any doubt as to the value of this insurance scheme, take a quick mental inventory of the contents on your home and their value and then get a few quotes off the internet and you’ll soon be seeing the value of having your home contents properly insured.

6 Common Property Insurance Mistakes - You Could Lose Everything

Getting the right property and casualty insurance coverage may not rank high on your list of financial priorities. Compared with investment decisions and estate planning issues, questions about the language in your homeowners policy, say, may seem hardly worth considering. Yet the more successful you become, the more complicated your asset-protection needs are likely to be—and the more you have to lose. Suppose, for example, that in addition to your primary residence—a historic home—you also own a house at the beach and a condo in the city. The properties are in three different states. The value of your collection of Abstract Expressionist paintings has grown rapidly. And you just volunteered to serve on the board of directors of a charitable organization.

Almost every aspect of this situation could cost you dearly. Insurance laws may vary widely from state to state, different kinds of property require specialized coverage, and collections of art, antique cars, and other unique items may be difficult to protect fully. Meanwhile, serving on a nonprofit's board could subject you to additional personal liability.

Safeguarding yourself and your family may mean buying additional coverage, but more insurance isn’t necessarily the solution. Rather, it’s important to review all of your needs, consider specialized policies or policy options, and coordinate your coverage with other aspects of your financial situation.

Here are 6 different shortcomings that could prove costly.

1.  Leaving gaps in homeowners coverage. Any homeowner needs to review coverage regularly to keep up with rising replacement costs. But insuring different kinds of homes in different locales poses extra challenges. If you buy insurance from more than one carrier, you may face contrasting rules, limitations, and policy renewal dates. For example, the liability limit on the policy for a second home might fall below the minimum on an excess liability policy designed to complement the insurance on your primary home. You could wind up responsible for the difference.

2.  Ignoring properties unique characteristics. One perk of affluence is the means to own exceptional homes; one drawback is that they may be difficult to insure adequately. Standard homeowners coverage won’t pay for the materials and craftsmanship needed to rebuild that 19th century showplace you’ve painstakingly restored. Coastal homes may face hurricane damage, while a place in the California mountains could be subject to earthquakes or wildfires. Meanwhile, city co-ops or condos may need policies tailored to their buildings or associations coverage.

3.  Under insuring art and collectibles. Standard homeowners policies limit coverage for the losses of antiques, furs, and other valuables. And while you could schedule additional coverage, insuring the real value of a collection of contemporary art or vintage muscle cars likely will require a specialized policy addressing several critical issues. How is the value of the collection determined? (You’ll need a professional appraisal when the policy is designed, with frequent updates as items appreciate.) Will a damaged or destroyed item be paid for with cash, or will you be required to have it replaced or restored? Will additions to your collection automatically be covered?

4.  Forgetting to insure household employees. When someone works for you or your family, as a nanny, landscaper, personal assistant, or in another role, you could be liable for medical expenses and lost wages if the worker is hurt on the job. Several states require household employers to pay into a workers compensation fund, while in other states it’s optional, but providing such insurance may be mandatory for ensuring your financial well being. If an employee drives your car, also make sure he or she is included on your policy.

5.  Neglecting your liability as a board member. Excess liability coverage could help protect you if you’re sued as a director of a nonprofit's board. Or for more comprehensive protection, you may want to consider special directors and officers liability insurance.

6.  Failing to get frequent policy reviews and updates. Your financial life isn’t static, and neither are your insurance needs. The value of a collection may increase; extensive home renovations could mean a sharp rise in the value of your property; and the re titling of assets as part of your estate plan—or because of divorce, a death in the family, or the birth of a child—could necessitate policy changes. Even lacking major events, you probably need a comprehensive review of all your insurance coverage at least every two years.

Insurance laws may vary widely from state to state, different kinds of property require specialized coverage, and collections of art, antique cars, and other unique items may be difficult to protect fully.

Helping an Inexperienced Through The Rental Maze

Helping an Inexperienced Through The Rental Maze

By: Patrick Miles

Not all landlords are property tycoons, sometime people are forced to take on this role. Yet even an accidental landlord must understand their legal responsibilities, regardless of whether they use an agent or take on the property management themselves.

One usually thinks of a landlord as an experienced property investor, owning dozens of properties. However, sometimes people end up as a landlord by default, rather than by design.

Perhaps they have inherited property and want to rent it until local property prices increase. Or, maybe they have moved in with their partner or re-located for work, but haven't sold their own property yet. Even the recent economic turmoil has created reluctant landlords, with some people forced to rent their homes to cover their mortgage payments while they try to find a buyer.

Whatever the reason behind their new found status as a landlord, they probably have a limited understanding of the current regulations and the procedures in the residential property rental market. Equally, they probably won't have much time to dedicate to being a landlord. They will want simple solutions for their rental property, including help to advertise their flat and find a tenant efficiently.If you are about to become a landlord for the first time, here are a few important requirements to help you.

Be aware of the regulations and your responsibilities as a landlord

There are certain regulations that apply to all residential rental property. Complying with these is the responsibility of the landlord – even if they use a letting agent. So as the landlord, it is up to you to adhere to the following requirements.
* If the property is mortgaged, you must tell the lender that it is going to be rented. If you don't you could be in breach of contract and your lender could call-in the loan.

* If the property is a leasehold make sure you tell the freeholder about your rental plans and get their written permission.

* Get the right insurance. Normal buildings and contents cover does not provide adequate cover - you'll be better off switching to landlord's insurance.

* The law requires a landlord to protect their tenants' deposit in an official government-backed scheme, be it insurance-based or custodial.

* A landlord must provide a new tenant with an energy performance certificates (EPC) for the rental property.

* Make sure the property is safe by installing smoke alarms and have any gas appliances inspected each year by a CORGI-registered engineer. Any furniture included with the rental must comply with the current fire safety regulations.

 How to find a tenant and let your property

Once you have all the paperwork in place and safety checks done, you'll need to find a tenant. You could use a letting agent. They will know the local letting market and will be able to vet your potential tenant. Although you still need to make sure all the regulations are adhered to, you may find it easier to use an agent.If you have the time and inclination, you could manage the property yourself. In which case, you will need to find a tenant and do all the paperwork yourself. The good news is that these days you can use the internet to advertise your property. The specialist property website u-rooms.com uses all of the power of the internet to advertise rental property. This approach will help you to find a tenant easily. Plus, at £12.99 per listing it is cost effective, and well worth considering even if you are using an agent to manage your property.Whether you decide to find a tenant and manage the property yourself or leave it to a letting agent, you should get references from the potential tenant's employer and previous landlords. A credit and ID check should also help to put your mind at rest.

Being a landlord needn't be a chore

Getting used to being a landlord may take a while. If you find yourself suddenly thrown in at the deep end as a landlord, you will need to be aware of your responsibilities. You could use local letting agents to help you manage the property. However, if you decide to go it alone, using an online website to advertise your property will make it simple to find a tenant.

Article Source: http://www.sooperarticles.com/real-estate-articles/property-investment-articles/helping-inexperienced-through-rental-maze-91403.html

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For more information about student flats, marketing rental property or to list your property contact http://www.u-rooms.com

Landlord Insurance

As a landlord, ignoring the importance of insurance for your rented property might cost you enormously. Therefore, landlords are advised to get the appropriate landlord insurance to protect the damages and loss caused to the rented properties.

In the real estate business property is on of the most valuable assets for landlords. It is of up most importance to have the correct dwelling insurance for your buildings or properties, along with adequate replacement costs, to replace structure should should property sustain substantial or total loss damage due to fire, flood or any other acts that you may not be aware of. When seeking out the proper insurance, landlords are responsible for identifying the information of the conditions of their rented properties. This information is essential when contacting the insurance companies. It is important to understand that landlord insurance, or dwelling insurance is completely different from a regular home owners insurance policy. Carrying the wrong type of insurance on your property is no only a waste of money, but it will cost a landlord a fortune should you ever need to make a claim, because you will most likely be denied by your provider, because you were no carrying the right type of insurance on your dwelling. It is vitally important for landlords to notice that various types of insurance can cover their rented property and its contents. The standard residential landlord insurance can be applied when the rented property is used for residential purposes but, commercial property insurance covers properties that are used for business purposes. Furthermore, legal expenses and rent guarantee insurance is to cover the legal costs and past due rent if their tenants break the rental or lease agreement's terms. Landlords must understand that different types of insurance have different purposes. Therefore, it is important for them to be covered by an adequate insurance. Not only should landlords protect themselves from damages and loss due to foreseen and unforeseen circumstances; tenants are also recommended to renters insurance to cover their personal possessions that are kept inside the rented property. Since insurance serves an important part of your real estate investment, landlords should always purchase an insurance that suits their requirements.

Building and Contents Insurance

Building and contents insurance coverage are two different types of owner insurance protection. Building coverage is just what the name states, insurance that protects the building structure only. Contents insurance covers the value of everything that is placed inside a building or at least it should. You can acquire both types of coverage as separate policies if you like. However, many prestigious providers will sit down with home-owners doing a thorough examination of cover needs for both the building, meeting mortgage lender needs, as well as helping assess contents value and cover available for your belongings.

 Typically, building insurance pays for the replacement cost or repair of a structure when damaged by natural causes covered in your policy, such as lightning strikes, hurricanes and other storms. A need exists to question what natural disasters will be covered under a policy. Often, flood insurance is normally not covered in standard building coverage and must be purchased separately.

Contents insurance is a policy designed to provide coverage for your belongings and building's contents. Typically, contents insurance will cover furniture, floor coverings, wall decor, appliances, clothes and more. This is type of insurance is used to protect a home-owner, or renter, from losing valuables in a disaster. There are different levels of coverage that would include compensation for depreciated value only or full replacement cost for covered items based on current market pricing.

Some providers require up-to-date inventory lists when adding valuable content such as antiques and jewelry. Contents insurance would normally cover any burglary leading to vandalism or theft of items covered in your policy as well as damage due to natural disasters.

The key objective when consulting with your building and contents insurance provider is to make sure coverage is in place so you are fully protected against loss.