Busting Home Insurance Myths

This month we’re talking about myths or common misconceptions in home insurance, and setting the record straight. Are you falling for any of these?

1. Home Insurance covers every possible scenario

In the UK ‘all risks’ insurance (where you’re covered for everything unless the policy says you aren’t) is not something you can find for home insurance. Read your policy for your specific cover areas.

2. Renters don’t need insurance, landlords cover it

Landlords insure what they own (their buildings), which means that you need to insure what you own (your contents). Don’t leave yourself without cover as you won’t be protected under their policy.

3. Home-based business are automatically covered

Most standard home insurers won’t cover you if you run a business from home, particularly if it involves having any visitors or holding any stock, but working from home or clerical work is usually fine.

4. Home insurance covers you for maintenance issues

Insurance is for unexpected losses or damages. Wear and tear or any damage caused by you failing to maintain your home will not be covered, as this would be expected over time for you as a homeowner.

5. All your contents are covered in a standard policy

Not everything will be covered as standard. For example, high value items may need specifying individually and often your possessions aren’t covered away from the home without extra cover.

6. All home insurance covers the same things

Unlike car insurance, there isn’t standardised cover for home policies. Every policy will be slightly different in what it covers, what claim limits, and what exclusions, so check the wording before you buy.

7. Rebuild cost is the same as market value

When you buy a home, a lot of the value is in the land you are buying, not just the building itself. Therefore, usually, the market value of a home is more than the cost of rebuilding it.

8. Home insurance covers damage by pets

Most home insurance won’t cover damage by pets as standard. Some will allow this as part of enhanced accidental damage, but many still restrict the cover to exclude certain types of damage by them.

9. Business equipment is covered under my policy

Usually clerical business equipment will be covered under your policy where you own it or where you have a responsibility for it from your employer, but it’s best to check with your employer as well.

Did you know any of those already? Check out for the rest of our blogs for more information and useful tips about insurance.