With the tasks that come our way in daily life, additional insurance is usually something we don’t think about every day. However, in the worst case scenario, we are often unprepared and it is then that a household insurance policy can be worthwhile.

Such insurance covers costs of furniture and objects in the household, which were damaged after a burglary, fire, heavy storm or by tap water damage. In these situations, there is often hardly any possibility left to pay for the costs incurred for the lost furniture and household objects.

Household Insurance: Financial Security In Emergency Situations?

Most often, the repairs of the caused damage to the building or apartment are very expensive. In the worst case, insurance that covers the cost of new furniture, etc., can be a financial salvation.

This usually reimburses the costs that are necessary for the new purchase. So it’s not about the original price. Perhaps the purchase was made years ago and has since increased significantly.

However, the reimbursement usually applies up to a certain upper limit of the insured sum agreed in advance. However, it is always worth checking the exact advantages and disadvantages of each insurance policy before signing a contract.

This way you can be sure that everything you need in case of an emergency is included. Of course, the monthly price should not be beyond your means. Instead, it’s better to look a little longer for a comparable option rather than committing too quickly.

In Which Cases Does A Household Insurance Cover Damages Incurred?

A homeowner’s insurance policy covers the following damages:

• Burglary, Robbery, Vandalism, Theft
• Fire, Smoke, Explosion
• Storm, Hail
• Tap Water Damage
• Water Damage
• Lightning Strikes
• Floods
• Backwater Caused By Storms
• Earthquake
• Earth Subsidence
• Landslides
• Snow Pressure
• Avalanches
• Volcanic Eruptions

Tip: When choosing the right insurance company, you should pay close attention to which benefits are worthwhile for you. For example, if you live in an area where there is no danger of avalanches, you do not need this benefit.

What Exactly Does A Household Insurance Policy Cover?

• Furniture, curtains, carpets, wallpaper, books, pictures
• Antiques
• Household appliances and electrical appliances such as TV, computer, kitchen appliances, fitness equipment in the house,
• Clothes
• Watches
• Jewelry
• Food

Who Needs Household Insurance?

According to Stiftung Warentest, insurance is recommended when the value of one’s household items is so high that it is difficult or impossible to reacquire them or replace them with comparable items if they are damaged.

It can be helpful to roughly estimate the value of the objects in the house and make a quick calculation to test for yourself how expensive it would be to replace them in an emergency. This can help determine how heavily such a situation would weigh on one’s bank account or savings.

Many people do not realize how much money they have actually invested in their household goods, according to test.de. The value of the items, which can accumulate over the years, may have increased considerably.

Who Can Do Without Household Insurance?

In most cases, household insurance is not necessarily worthwhile for young people, as they do not own expensive furniture and other items. However, in case of damage or theft of a notebook or other expensive equipment, homeowner’s insurance can be useful.

In Which Situations Does The Insurance Cover Burglary And Theft?

In the case of theft or burglary, the insurance usually pays for the damage. However, this does not only apply to your own four walls. By the way, the insurance also covers burglary on vacation, in the hotel room or the vacation apartment.

Does Insurance Cover Water Damage?

According to test.de, standard household insurance only covers the cost of water damage in the event of a tap water accident. In many cases, water damage caused by storms, flooding (e.g. in the basement), etc. requires so-called supplementary elementary damage protection.

In These Situations, Additional Protection Through Natural Hazard Insurance Is Useful:

• Floods
• Snow Pressure And Avalanches
• Landslide
• Earth Subsidence
• Backwater

Homeowner’s insurance offers many benefits. There are numerous situations in which it can be a financial rescue. In general, it is worth making provisions for emergencies and adding up the value of household items. Thus, it can be determined whether such insurance coverage is the right option.