Explanation of Home Insurance, Benefits, Types, and Premiums
home insurance protection
Home insurance is a type of insurance that offers compensation due to the risk of fire, theft, to natural disasters that have the potential to cause damage to the house. That way, the value of losses due to these risks can be minimized if you have home insurance.
This is where the role of home insurance becomes important and much needed. Well, to get to know more about this insurance, Lifepal has made a complete review. Come on, take a look.
The importance of having home insurance
Although not as famous as health and life insurance, home insurance, like other types of insurance, serves to provide protection.
However, its function is to protect one's property against various losses due to fire, theft, or damage caused by natural disasters. Including, due to flooding.
Having home insurance is a form of protection that you provide for your own finances. Moreover, a house is a basic need and has an investment value.
With home insurance, all risks of loss that arise due to the above conditions will be borne by the insurance company so that you can relax and feel comfortable because the assets are protected to the maximum.
In addition to providing enormous protection and important benefits against damage to your property, various other minor repairs due to natural disasters will also be covered by this insurance.
Home insurance benefits
best home insurance
No one denies that insurance is very useful in times of disaster or accident. Including for home insurance, because the house is an asset that must be protected.
Of course, we don't want our assets to be impaired because of an event. So, insurance is needed to protect the possibility of risk.
Here are a number of home insurance benefits that we can get.
Protection against risk.
Protecting items in property
Protection of valuable art
Protect the possibility of lawsuits
1. Protection against risk of damage
Property insurance offers protection against many natural disasters. Generally, those covered by property insurance products include the risk of rainy season and flood, fire, earthquake, theft, and other weather-related damage, earthquake, hurricane.
Even so, the protection provided to property insurance products depends on the size of the house, location, and other features. It all comes back to the type of policy we buy.
2. Protecting the property
Property insurance can also provide protection for assets owned in the house or property. So, in the event of a natural disaster or an event that causes damage to valuable objects in the property, you will also receive protection.
Explanation of Home Insurance, Benefits, Types, and Premiums
3. Protection of valuable art items
The house has become the owner's protection and a place to store wealth. Well, often people keep valuable art items. Of course having art is risky if it is not protected, this is where insurance plays a role to keep valuables protected in case of damage.
Not only art items but also valuables, such as jewelry such as: diamonds and gold. Contact the general insurance company of your choice to get this valuable goods protection service.
4. Protecting the possibility of lawsuits
If we are a property owner then rent it out to someone else. So we are responsible if there is property damage that makes our property tenants dangerous. The possibility of a lawsuit filed against us by the tenant can occur.
Well, insurance can protect us from lawsuits that may occur. In addition, property insurance can also provide compensation if there is a condition that the property tenant does not pay rent or experiences property damage due to the tenant.
There are two types of home insurance
Budgeting a special fund to have home insurance can minimize the risk of losses caused by the various losses above.
But, before doing so, of course you must first know the types of home insurance to choose from.
1. Property all risk/industrial all risk
This type of fire insurance is unnamed perils which provides coverage against all risks to the property and or interests insured, except for the risks listed in the exception.
Namely, war; terrorism; nuclear and radioactive; lateness; loss of market share or business interruption; intentional; employee dishonesty; mechanical damag The guarantees provided by the Property All Risks (PAR) Insurance service include:
Coverage for riots, strikes, misdeeds and riots.
Coverage for hurricanes, storms, floods and water damage.
Guarantee for earthquakes, volcanic eruptions and tsunamis.
Coverage for landslides and ground movement.
PAR insurance only applies to non-industrial buildings, such as offices, residences, hospitals, schools, and other property buildings.
large;">Meanwhile, industrial buildings, such as factories, warehouses, malls and shops, will use Industrial All Risk (IAR) insurance.
2. Standard Indonesian Fire Insurance Policy (PSAKI)
This type of insurance is a standard policy issued by the Indonesian General Insurance Association (AAUI) as a form of fire insurance service.
This property insurance product provides protection benefits for the insured property and or interests due to fire, lightning, explosion, airplane crash, and smoke.
Not only the main benefits listed in the PSAKI, fire insurance can be extended by covering other risks not covered in the PSAKI, such as riots, strikes, damage due to evil deeds, riots.
Explanation of Home Insurance, Benefits, Types, and Premiums
The guarantee in this insurance can also cover floods, hurricanes, storms and damage due to water, landslides.
In addition, this insurance can also be used during demolition conditions to business interruptions (loss of profits).