If you have recently bought a home, it is essential to purchase the right insurance policy to protect your property and its contents. This article will tell you everything you need to know about homeowners insurance in Queensland, giving you peace of mind.

What Is Homeowners Insurance?

Home insurance is a policy that you pay for, either monthly or annual, so that if your home is damaged by events like fire, storms, theft, or vandalism, the insurance provider will cover the cost of repairs or rebuilding. 

Depending on the level of cover you pay for, the policy may also protect your belongings (the contents inside the home) and provide liability protection if someone is injured on your property.

When choosing a policy, it’s important to understand the different types of cover available:

• Home (Building) Insurance. Covers the structure of your property, your garage, and any other fixed buildings on your land.
• Contents Insurance. Covers the personal items inside your home, such as furniture, appliances, clothing, and electronics.
• Combined Home and Contents Insurance. A comprehensive option that covers both the structure of your property and its contents.
• Flood and Cyclone Cover. In some areas of Queensland, where weather is unpredictable, additional flood, storm surge, and cyclone cover may be required.

Why Is Insurance Important in Queensland

Queensland sees tropical cyclones in the north and heavy storms and flash flooding in the south-east. These severe weather events are likely to cause widespread damage to your property, land, and belongings. 

Without adequate homeowners insurance, the financial burden of repairing or rebuilding can be overwhelming. Insurance gives you a safety net, ensuring that you and your family can recover faster after an unexpected weather event.

Key Things to Keep in Mind

• Know your value. Make sure the insured value of your home and its contents realistically reflects the cost of rebuilding and repairing. Underinsuring your property could leave you out of pocket, especially as labour costs and materials rise.
• Check for exclusions. Every insurance policy has limits, and these are often hidden in the terms and conditions. For example, some policies may not cover damage caused by termites or unapproved renovations.
• Excess payments. Understand the amount you’ll need to pay if you make an insurance claim. For example, if your excess is $6,000 and the repairs cost $25,000, you will be required to pay $6,000 of your own money towards the repairs.
• Compare providers. Taking the time to compare providers, premiums, and inclusions can save money and ensure better coverage.
• Emergency accommodation. If you don’t have any family or friends in the area, emergency accommodation will be highly important. Many policies will find you temporary housing if your home becomes unliveable after an insured event.

Final Thoughts

Homeowners insurance isn’t just a box to tick anymore, it’s crucial for Queensland homeowners. Whether you live in a coastal apartment in the Gold Coast or a family home in Townsville, the right policy can protect both your property and your financial security.