Home Insurance Glossary

Accidental Damage
Optional cover offering protection with regard to mishaps which might damage your household contents. For instance dropping wine on your carpet or damaging a decoration.

Act of God
An occurrence that is not the fault of any person. Acts of God can be insurable.

Additional living expenses
This will pay for various additional living expenses, example, hotel in the event that you must live somewhere else whilst repairs are being made to your home.

Appraisal
An assessment regarding your claim.

Approved Security Alarm System
Numerous insurance companies will provide a discount if your house security alarm system is approved as well as serviced by a Nacoss authorized company.

Claim
When a insurance policy holder or named beneficiary wants settlement or payment under the conditions of an insurance policy.

Contents
Household items, household furniture, home appliances, garments, valuables, individual effects and cash owned by the proposed in personal use, fixtures, fittings as well as indoor adornments for which the proposed is legitimately responsible for as occupier.

Contents Sum Insured
The Contents Sum Insured is the total amount of cover needed in order to replace all your possessions, in the event of everything being ruined.

Domestic Emergency
An immediate issue concerning your property's plumbing, water flow, heating system, gas or electrical devices. An unexpected emergency considered as the consequence associated with a unexpected or unanticipated event in your property.

Excess
An excess is the amount you pay towards any kind of claim. The larger excess amount the cheaper the premium you will pay out. This can sometimes have been selected by yourself or by the insurance company you have chosen using the information and facts you will have provided.

Exclusion
Specified property, individual or even happening which the insurance policy does not cover.

Indemnity
This means that following a claim you will be restored to the same financial situation which you were in immediately prior to the insured loss. Account is considered with regard to age, wear and tear and depreciation.

Loss Adjuster
An individual, separate from an insurer but employed and paid for by the insurer. The loss adjuster inspects that the claim is covered and works out a deal with the insurance policy holder.

Neighbourhood Watch
If a residence in a location specified as a neighbourhood watch area by the National Neighbourhood Watch Association.

Outbuildings
Structures outside of the house, for instance a garage, garden or greenhouse.

Premium
The amount you pay as a insurance policy holder for your insurance policy.

Proposal Form
An application form to make an application for insurance coverage.

Reinsurance
Reinsurance is the cover insurance providers can buy to safeguard themselves against big losses.

Sum Insured
The value of the insured object or happening described in the insurance policy that will make up the foundation of an insurance claim. This certainly will consider your possible monetary loss. With regards to buildings insurance, the sum insured is generally the reconstruction costs.. For contents insurance policies, it's the valuation on things that aren't part of the construction of your property for example furnishings, garments, Compact disks and so forth.

Underwriter
Particular person who determines if they should agree to a risk and computes the premiums to be charged.

Valuables
These are generally high-risk goods, which are usually designer watches, statues, portraits, works of art etc.

Voluntary Excess
An additional sum an individual may decide to spend in the eventuality of an insurance claim on top of any mandatory excess insisted upon by the particular insurance company. You are able to choose this amount at the time you take out an insurance plan. Carrying this out will often assist with decreasing your premium.

Year Built
The estimated year which the property was initially constructed. The majority of insurance companies offer reduced prices for properties which have been constructed recently.

Always remember to read your policy documents carefully because the information given in our house insurance glossary can vary from insurer to insurer.

Thank you for taking a look at our UK Home Insurance Glossary!