Here are 5 benefits of home insurance that you simply must know about

Home insurance in India is a crucial financial shield, providing comprehensive protection in an ever-evolving landscape of risks. It safeguards against potential damages caused by calamities like earthquakes, floods, fire, and theft.

Rahul M. Mishra, Co-Founder and Director of Policy Ensure, said, "With a surge in natural disasters impacting over 800,000 individuals annually, the need for coverage against property damage is evident. The average premium for home insurance in India typically ranges from Rs 5,000 to Rs 15,000 per annum or more, depending on factors like property value and coverage."

“As home burglary rates rise, insurance becomes essential for safeguarding personal belongings. Additionally, the increasing number of claims, emphasises the practicality of home insurance. Beyond property protection, liability coverage is indispensable, considering the average cost of injury claims in India,” added Mishra

In essence, home insurance provides security and ensures essential financial resilience, offering homeowners peace of mind amid diverse risks and potential losses. A few benefits of home insurance include:

Financial aid: Homeowners receive support for interim housing and get coverage against expenses of reconstructing or repairing due to calamities like earthquakes/floods, etc. "The premium is notably lower than the restoration expenses, offering significant financial protection," said Tarun Mathur, Chief Business Officer - General Insurance, Policybazaar.com.

Property coverage: Comprehensive home insurance shields against partial or total house loss, including burglary, theft (within 7 days), fire and more such occurrences.

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Personal liability coverage: The policy covers medical expenses and legal fees if someone is injured within your premises. However, it is recommended to review policy features to ensure adequate coverage.

Peace of mind: Home insurance provides security and peace to the policyholder, assuring financial protection against unforeseen dangers.

Enhances a home’s appeal: “Home insurance makes the home more attractive to potential buyers or renters. Although the insurance plan isn't transferable, it signals to the new owner or tenant that the previous owner was prudent and didn't compromise on maintaining the home, primarily after significant damage occurred. This assurance adds value and confidence to the property's history and upkeep, making it more enticing to prospective buyers or tenants,” said Mathur.