Home Building Cover: – Covers the main structure, apartment, bungalow, fittings, and fixtures. It also includes auxiliary structures like garages, domestic outhouses, compound walls, fences, gates, internal roads, and parking spaces.
Home Contents Cover Automatically provides cover for general household contents (like furniture, electronics, kitchen equipment, etc.) for 20% of the Home Building Sum Insured, subject to a maximum of ₹10 lakhs. The pay-out covers the cost of repair or replacement with a same or similar item.
In-Built Expenses The policy automatically covers the following associated costs in the event of a claim: • Reasonable fees for architects, surveyors, and consulting engineers (up to 5% of the claim amount).
Unexpected Events (Perils) Covered:
The policy provides cover for physical loss, damage, or destruction caused by a wide range of unforeseen events:
• Natural Calamities: Fire, Lightning, Explosion/Implosion, Earthquake, Volcanic Eruption, or other convulsions of nature, Storm, Cyclone, Typhoon, Hurricane, Tornado, Tsunami, Flood, and Inundation.
• Other Perils: Subsidence, Landslide, Rockslide, Impact damage (e.g., collision by an external object like a vehicle, falling tree, or wall), Missile testing operations, Bush fire.
• Man-Made Hazards: Riot, Strikes, Malicious Damage, Acts of Terrorism, Bursting or overflowing of water tanks/pipes, Leakage from automatic sprinkler installations.
• Theft: Theft is covered if it occurs within 7 days from and is proximately caused by any of the insured events listed above.
Optional Covers (Available at Extra Premium):
• Loss of Rent and Rent for Alternative Accommodation: Covers rent if the home is uninhabitable due to an insured peril.
• Cover for Valuable Contents on Agreed Value Basis: Allows you to cover items like jewellery, silverware, paintings, and works of art based on an agreed value.
• Personal Accident Cover: Pays ₹5,00,000 per person if the insured peril causing home damage also results in the unfortunate death of the owner or their spouse.
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2. Key Features and Benefits
• No Underinsurance Penalty: This is a key feature. If the Sum Insured you declared turns out to be less than the actual cost of reconstruction, the difference will not affect the amount the company pays, up to the Sum Insured.
• Automatic Annual Sum Insured Increase: For policies longer than one year, the Home Building Sum Insured is automatically increased by 10% each year without any additional premium, up to a maximum of 100% of the original Sum Insured.
• Reinstatement Value Basis: The Sum Insured for the building is based on the prevailing cost of construction (excluding the cost of land), ensuring you can reconstruct the property to its original state.
• Long-Term Coverage: The policy duration can be for one year or more, up to a maximum of 10 years.
• Coverage for Tenants: The policy is not limited to homeowners; tenants can also purchase the cover to protect their contents.
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3. Why You Should Have This Policy
1. Financial Protection and Peace of Mind: Home insurance shields you from catastrophic financial losses that could arise from unforeseen events like floods, earthquakes, or a major fire. It provides confidence that your property is secure, and you have the means to rebuild or restore your assets.
2. Protection Against Natural Disasters: India is highly susceptible to calamities like floods, cyclones, and earthquakes. This policy provides essential coverage against these major risks, which are beyond human control.
3. Covers Structure and Contents: It offers a complete solution by covering not just the physical structure of your home but also the valuable contents within it, including the automatic coverage for general contents.
4. Mitigates Post-Loss Expenses: The policy is comprehensive, as it includes associated costs like debris removal and architect fees (In-Built Covers), which can be significant expenses after a major loss. The optional cover for Alternate Accommodation is also crucial, ensuring you have a place to live while your home is being repaired.