A simples guide

Bungalow Insurance

If you’re thinking of buying, or are already living in a bungalow, the price of home insurance is probably not one of your first considerations. More likely you’re looking at the convenience and comfort of the one-floor living space. With no stairs to worry about, bungalows tend to be favoured by the elderly, but are also a great choice for families with young children.

 

Like any home, though, you do need insurance for your bungalow to give you protection against fire, flood, theft and anything else that may cause damage to your home and the contents within it.

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Why do I need bungalow insurance?

Whether on one floor or four, you may still want home insurance. And bungalows are no exception. There’s no special home insurance for bungalows, your home and belongings need the same protection as any type of residential property. Like any home insurance, you can break the insurance for your bungalow down into separate building insurance and contents insurance policies, or you can buy both policies packaged together with one provider, which often generates the best rates.

What is rebuild value?

It is the cost of rebuilding your home from scratch and should not be confused with the market value. For example, if you live in a three-bedroomed bungalow with around 120 square metres of floor space in the North West, your bungalow might sell for around £189,000. The rebuild value though might be around £162,000. So, if you insure your bungalow for the rebuild price, it is different to the market value and therefore your bungalow insurance will be cheaper.

Building insurance could protect you from damage by fire, flood and fallen trees but there may be exclusions. Accidental damage may be extra but is useful to cover your fixtures and fittings or any DIY accidents you may have. We do live on a windy, wet island and buildings insurance will cover you to repair the damage or rebuild the property at the rebuild value.

Natural disaster or domestic accident: it’s easy to think something bad won’t happen to you. But statistics show that there were 39,600 home fires in 2013/2014, the main causes of which were misuse of electrical appliances or equipment, and over half of these were caused by using a cooker. So, fires do happen and they can easily cause damage to one room in your bungalow, or all of it. Having Buildings insurance for your bungalow means you are financially protected if something should happen to you.

Is there anything that lowers the premium?

Getting your buildings and contents insurance together can be a help. The average price for Contents and Building Insurance together amounts to £291 which is an average saving of £59.00 (if you consider the average prices of insuring your building and contents individually amount to £354). Some insurance companies will give you a lower quote if you haven’t made a claim for a while and you have built up a no claims bonus. Another thing you can do is adjust a voluntary policy excess – having £0 excess could increase your premium but you won’t have to pay out as much in the event of a claim. Conversely, if you increase your voluntary excess, your premium could be lower but you need to be sure you could afford to pay it if you made a claim.

What about Bungalow Contents Insurance?

Again, just like in any home, you should protect everything in it from theft or damage with Contents Insurance which could cover household items like curtains, furniture and electrical goods, as well as personal belongings such as clothes and jewellery.

Contents insurance on average will cost you around £124, but the price can vary. It just depends on the value of the contents and whether or not you have any special heirlooms, jewellery or antiques that need to be considered.      

 

What is a policy excess?

An excess is like a contribution you pay towards your home insurance. For example, if you made a claim for your TV and you had a policy which replaced it with a new one at the cost of £700, and you had an excess of £100, you would receive £600 from the insurance company. An excess will lower the premium on your bungalow home insurance, but make sure its amount you can afford to pay out if you need to. If you have a claim that affects both your building and contents your excess will be deducted from both the buildings claim and the contents claim

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Where can I find a good bungalow home insurance deal?

Let us make it easy for you. We will search over tens of insurance companies for you and let you have a complete list of prices and information, starting at the cheapest.  All you have to do is select the policy that best suits your needs. So why not start comparing home insurance now.

All average price amounts based on comparethemarket.com data in February 2016