Home and contents insurance – the important facts you need to know


Buying a home is one of, if not the most, expensive assets we’ll ever buy. It’s also one of the most exciting events you’ll ever experience.  From saving for the deposit, to deciding whether you’ll build your dream home, or buy an existing one – there’s so much to do and consider prior to settlement date. 

One of the most important elements to get right is your home and contents insurance. While insurance may not be the most exciting subject when you are considering buying a property, having the right insurance policy in place, will help you sleep well at night. After all, we hope we never have to make a claim, but when we do, it’s comforting to know we are covered. 

We recently met with insurance expert Pete Palazzo, Principal and Insurance Broker at Essential Insurance Solutions, to delve into what you need to consider when insuring your most valuable asset. Pete highlighted the different types of home insurance available, how much you should be insuring your home and contents for, the difference between landlord and home insurance and the benefits of working with an insurance broker over going directly to a standard insurer.

What Home and Contents policies are available?

By working with Essential Insurance Solutions, clients have the flexibility to choose from two types of home and contents policies.

The listed events policy provides cover for a range of events including new for old replacement, accidental damage, fire, water or liquid damage, burglary or break-in etc. Contact Pete from Essential Insurance Solutions for a comprehensive list of events.

Alternatively, the accidental damage policy provides cover for a much broader range of events. Contact Pete for a comparison of these two insurance types to see which one best suits your needs.

What landlord policies are available?

Essential Insurance Solutions offers a wide range of residential landlord policies that have been designed to meet a landlord’s insurance requirements.  The Landlords Policy ensures a client’s investment building and/or contents will be covered for loss or damage due to malicious damage or theft by the tenant, or accidental damage cover caused by the landlord or the tenant etc. Again, contact Pete from Essential Insurance Solutions for a comprehensive list of events.

How much to insure your home for?

This is one of the most common questions Pete from Essential Insurance Solutions receives.    Obtaining home insurance is often a rush decision, as it’s a requirement in obtaining finance. However, it’s important to remember the insured sum needs to cover the “replacement cost” of the home. In the event, where you have to rebuild the home – the actual dwelling, including any shed(s), solar panels, veranda and pool – what would it cost to replace in today’s market? Remember, it is always better to be over-insured, than under-insured. 

Another way to approach this is, if your property is worth $600,000 in today’s market, but your land component is approximately $200,000, you may consider insuring your home for $400,000. If you need assistance in determining your land value, please contact Mark. 

When estimating the sum insured for your contents, it’s very easy to remember the big items – TVs, lounges, laptops etc. However, make sure you also include all linen, footwear, whitegoods, jewellery, clothing, cutlery, curtains and carpets.  

Finally, don’t forget that even during the course of the year, you can make changes to your policy. For example, say you installed solar panels half way through the year. Don’t wait until renewal time to let your insurer know – inform them know as soon as they are installed. Your insurer will then charge a pro-rated premium to ensure they are covered.

Why work with an insurance broker?

We often think dealing directly with one of the well-known insurance brands is the only approach. However, by working with a local broker, you can be confident that you will receive assistance and support within all aspects of your insurance requirements. From providing advice, obtaining quotes, negotiating premiums, all the way through to submitting and navigating the claims process.

Seek advice from a trusted professional

Remember to always speak with experienced professionals who can provide you with an unbiased opinion.  If you have any insurance questions, speak with Pete from Essential Insurance Solutions. He’d be delighted to assist you with your needs. 

Buying or selling a home is a process that takes considerable time. A trusted real estate agent will always listen to your wishes and needs, and act purely in your best interests.  With Mark being one of Mildura’s most trusted real estate agents, he is well placed to provide you with his view of the current market from both a buyer’s and vendor’s perspective.