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How to secure your home against flood with property insurance?


Insurance: Home insurance generally covers loss due to burglary, fire, and natural calamities such as earthquakes and floods. More details here

How to secure your home against flood with property insurance?
While monsoons bring the much-needed respite from the scorching heat in most parts of the country, this time of the year also sees nature’s fury in the form of calamities like floods, landslides and cyclones.
Apart from the floods that we witnessed in parts of Andhra Pradesh, Tamil Nadu, Kerala, Andhra Pradesh, Uttarakhand, Goa and Maharashtra, this year we also saw the devastation caused by cyclones Tauktae, Yaas and Gulab.
Unfortunately, for many of us, it takes a tragedy to knock on the door to expose our unpreparedness. Even though most Indians consider their home the most valued possession, we are often reluctant to protect it financially. Opting for a property insurance has multiple benefits and one can choose a cover based on their individual needs.
Home insurance generally covers loss due to burglary, fire, and natural calamities such as earthquakes and floods. There are typically three types of home insurance policies: one that covers the contents of the house, one that covers the building, and one that covers the building as well as its contents (personal belongings in the house such as furniture and electronic goods).
There is also an option to cover jewellery along with the property and its contents. It is important to evaluate and choose the best policy to ensure your house is financially secure from unforeseen damages.
 Individual Apartment: If you live in an independent flat that is part of a gated community or standalone building, there is a policy made just for you. Such a product will cover the structure and contents of the flat. Tenants can only insure the contents whereas owners can insure both, the building as well as its contents.
Independent Building: In cities such as Bengaluru, Delhi and Chennai, a lot of people lease out the entire building to their family members or rent it out to tenants. In such cases, one can opt for home insurance which not only covers content but protects your building as well as exterior fixtures. Tenants, however, can insure only the contents.
Independent Villa: This can be a rented villa or own house. Tenants can choose to cover the contents whereas owners can insure the whole building, depending on the occupancy type.
Coverage against fire: Cover against damages caused due to fire arising out of electrical short circuits, explosion of gas cylinders in apartments and houses, and other similar situations.
Coverage in case of burglary: Loss or damage due to burglary or theft is covered. In the event of a forcible break-in, the same qualifies as burglary which will be covered under the home insurance cover.
Coverage against natural disasters: Nature is unpredictable, and the recent floods are a perfect example. It is impossible to anticipate a natural disaster, and hence having home insurance is vital. It covers the house and its belongings against natural disasters such as earthquakes, floods, tsunamis, cyclones, lightning strikes and landslides , among others.
Coverage against loss/damage of jewellery: Jewellery is an optional cover under home insurance products. Home Insurance protects jewellery against any loss or damage due to an insured event. It also covers burglary of jewellery.
While you are consciously protecting your loved ones through health and life insurance covers, don’t forget to protect your home which could be one of your most valued assets. With home insurance, damages caused due to unfortunate events can be covered, giving you adequate financial cushion.
The author, Dilip Baba Neeronthiyil, is Vice President - Non-motor Underwriting at Digit Insurance. The views expressed are personal
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