National Insurance Awareness Day: Here’s why Home Insurance Policy is Must for Everybody

Posted on: Jun 28, 2022 | | Written by:

National Insurance Awareness Day: Here’s why Home Insurance Policy is Must for Everybody

The importance of insurance is realized by people when they come across any unforeseen events. But, unfortunately, it is too late then. An insurance policy is a kind of like a spare tire. National Insurance Awareness Day is annually celebrated on June 28 with the intention to inform people about the importance of insurance and its benefits. Many people first think of buying a health insurance policy, or term life insurance, to name a few, which is also necessary. However, they ignore securing one of the most important assets of their life, which is their home. A home insurance policy secures your residence content and structure against unfortunate events like theft, fire, natural calamities or man-made activities (riots and terrorism).

Here’s Why Everybody Should Have Home Insurance Policy

1. Fire Accidents

Hearing about the news of a fire breaking out in an apartment or building is quite common. Fire incidences can lead to vulnerable damages. For example, this year, in January 2022, a major fire broke out in a multi-storey residential building at Tardeo in Mumbai, which led to the death of seven people and 24 others severely injured. Hence it is wise to have a home insurance policy which can help you rebuild and restore your home the way it was.

2. Thefts And Burglaries

Burglars and thieves do not come with a warning. Hence, it is better to secure your house with a home insurance policy to avoid financial losses. The insurer will cover losses from thefts and try to help you during your hard times.

3. Natural Calamities

A country like India is prone to natural calamities which can cause irreversible damage to your residence and drain out years of your hard earned income. The recent flood in Assam damaged around 202 houses, thereby causing severe losses to the flood-affected victims. Hence, it is safe to have a home insurance policy to avoid such financial losses.

4. Safety For Belongings

Most people have a perception that home insurance only secures the structural aspects of your home; however, it also covers your belongings, including expensive electronics, jewellery and more.

5. Alternate Accommodation

Just in case if your home becomes uninhabitable due to an insured peril, the insurer will be there to help you out in providing an alternate accommodation for you to stay. The insured person will get a temporary place to stay or give the rent for staying in a different place till your home is ready for accommodation again.

Conclusion

Be it homeowner or tenants, it is advisable for every occupier to have a home insurance policy as it will safeguard your residence from unforeseen scenarios. With HDFC ERGO home insurance policy, you can avail of discounts up to 45%. Apart from this, you can cover home structure and belongings worth up to Rs 10 crore and Rs 25 lakh, respectively.

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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