Age of the building
An older building may not be in as good a state of repair as a newer building, and buildings in good repair get brownie points with insurers and help reduce the cost of your insurance. Therefore, if you are looking for New Build Insurance you will often find that the premium is often less that your counterpart who has an older building. Modern construction methods, fire containing spaces and possibly concrete floors can all lead to a lesser risk in the eyes of the insurer, and get you further discounts.
How many years have you owned the building?
If you have owned a house for numerous years, it gives the insurer the impression that you have ‘experience’. Experience means you probably by now or should know by now, to maintain your property & therefore reduce the risk or potential at least, of making a claim.
One off claims should not harm your premium prospects too much, especially if the costs are relatively low. However, if you are someone who claims annually for small amounts, the insurers will take note and load your premium accordingly. After all, they are there to make profit and can only function when doing so. You may think you are saving by claiming, but in the long run you are just pushing your premium further north!
Postcodes are huge factors in determining premiums for an insurer. Some postcode will be close to rivers, canals & other waterways and therefore pose a significantly higher flood risk. Some postcodes may have a high arson rate or theft rate in the area. Other will be low risk, away from water and high crime areas and therefore give a greatly reduced prospect of the customer getting favorable premiums!
One of the more straight forward factors, but not one everybody thinks about. Time and time again, we are told the next door neighbour pay half of what they are. The next door neighbour may live in 3 bed bungalow and the property might cost have as much to reinstate as your 3 storey 5 bedroom detached property.
Amount of contents insured
This again will pay a crucial role on how much you pay for your home insurance. TVs, electrical appliances, furniture etc all add up. Chances are if you are fortunate enough to own a larger property, you will have spent more on furnishing and kitting it out. More items means higher risk to the insurer if something were to happen & in turn will increase your premium.
Amount of personal possessions insured away from the home
Personal possessions carry a risk as they are transported away from the relative safety of your home. The prospect of lost or damaged Jewellery or luxury watched for example, will greatly increase your risk factor. If you insure these expect your premium to jump to cover the extra risk.
Hopefully you will have a better understanding of why you pay what you are paying! Property Insurance Centre have been insuring homes across the UK since 1976. Whether the building is old or it is New Build Home Insurance required, we can access markets & find the right level of cover at the best price!
Our average premium ranges from £190 – £300 for standard levels of cover & depending on some of the above factors. Give us a call or fill in an online form if your renewal is due. Chances are will save you money. We have access to a large panel of insurer with A+ Rated capacity. All homes have different needs & not least new build homes. That is why our policies will provide cover if the property is empty before you move in. We may be able offer you insurance policies that can grant up to 90 days unoccupancy cover and at wider perils cover during this time. Or you may think it will only be a short unoccupancy period and therefore have different options available for New Build House Insurance. The aim of our policies is to give you piece of mind and be flexible for what is probably one of the largest assets you will ever invest in.