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5 add-on you should opt for your property insurance

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Published on September 13, 2021. EST READ TIME: 3 minutes

Buying a property has always been considered a sign of affluence and is one of the biggest aspirations of many. A home loan is a key enabler that has made it easier to fulfill an individual’s dream of achieving the important life milestone of owning a home. It is imperative to understand the value of keeping your property safe by taking property insurance. Property is perhaps the most valuable asset of an individual and property insurance helps safeguard this asset from threats such as damages due to weather, fire, burglary, etc.

Why Do You Need Add-ons to Property Insurance?

Standard property insurance provides cover for the physical damages caused to the property. These damages could occur because of natural calamities such as heavy rainfall, earthquake, fire and lightning, etc. But it is not just the bricks and beams that need protection but the hopes and dreams in the form of valuables, furniture, jewelry, etc. that also needs to be safeguarded. This is where the riders or add-ons come into the picture. These riders when added to the property insurance offer protection beyond the structure. You can add these riders to your property insurance by paying an affordable premium.

Popular Add-ons And Their Benefits

The purpose of these additional covers is to provide support to a property owner where standard property insurance might not be able to help. Listed below are some of the popular add-ons with their benefits.

• Liability cover

Liability cover provides the cost of medical expenses in case of injury to someone at your place or the cost of repair to any damage caused to their property at your place.

• Pedal cycle cover

This add-on is specifically designed for cycling enthusiasts. With pedal cycle cover, you do not have to worry about expenses incurred due to a third party liability or due to any damage caused to your cycle when you are out and about.

• Electrical/Mechanical breakdown

As the name suggests, this type of add-on provides cover for the electrical and electronic equipment of a policyholder in case of any damage or breakdown. The advent of technology has led to a sudden rise in the number of electronic devices used at home. A household dependency on electronic devices has increased over the years, ranging from refrigerators and TV sets to home theatre systems and water purifiers. An electrical/mechanical breakdown cover provides financial aid in case of damage or theft of these types of equipment. It provides cover for the repair and service of electronic devices to the policyholder.

• Burglary/Theft cover

As stated earlier, these add-ons provide insurance coverage that goes beyond the structure of the property. A burglary/theft add-on cover safeguards the content of a home. Any sort of damage or loss to the contents of the home due to a burglary and theft is covered under this add-on. The corresponding financial losses incurred to a policyholder are taken care of by the insurer.

• Jewelry cover

Jewelry for ages has been regarded as a wise investment and a valuable asset to own. One of the reasons it is often preferred over other forms of investments is that it is less volatile compared to the other markets. Owning jewelry is considered a good investment but ensuring its safety can be a tough task. Under the add-on rider of Jewelry cover, you do not need to sweat it as this add-on provides cover for all risks to your jewelry and other valuables.

Conclusion

Losses incurred due to several threats to property covered under property insurance typically include damages to the structure due to bad weather or natural calamities. But it’s the additional riders over and above the property insurance that provide the overall protection to the structure and content of the home. It provides reimbursement to the policyholder for loss or damage to the property and its content. Additionally, property insurance provides financial aid to individuals injured at the insured property.

Disclaimer: The above information is for illustrative purpose only. For more details, please refer to policy wordings and prospectus before concluding the sales.

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