Whether you are looking to buy cheap contents insurance or an affordable building insurance, always be aware of the differences between building insurance and contents insurance. Remember, they are not at all similar, so before you go to buy any of these types of insurances, you need to have detailed knowledge about both.

What is Building insurance?

Building insurance only covers the cost of the damage done to your property. This includes the roof of your house, the floors, the walls, doors and windows and the ceilings. The insurance also includes outdoor structures like fences and garages.

Building insurance mostly covers permanent fixtures and fittings of your house like interior decoration, kitchen surface, built-in wardrobes and even underground tanks, cables, drains and pipes. Your building insurance must cover the cost of rebuilding the property. This includes the cost of demolition of the building, clearance of the site as well as architect’s fees. You should make it sure that any kind of luxury fittings in the kitchen or conservatory is also included.

Building insurance covers your house along with the fixtures and fittings from damage occurring due to: 
– bad weather like storms, lightning and flooding 
– theft or attempted theft 
– explosion 
– bursting or freezing of any part of the plumbing system 
– fire 
– impact by aircraft or vehicles 
– hateful damage or destruction 
– earthquakes 
– falling lampposts, trees, satellite dishes or any other aerials 
– subsidence

You can even include accidental damage of your home into the insurance policy. But this would cost you some extra amount. Again, you should keep one thing in mind that any object that is not mentioned in the policy will not be covered.

What is Contents insurance?

On the other hand, contents insurance policy covers the damage or loss done to anyone’s personal possessions that are located inside the person’s house. In this case, possession is referred to anything that is not attached to the house permanently. Some policies also provide cover for things that are kept in the garden or in outbuildings. Usual cheap contents insurance is normally sold along with home insurance but you can also purchase it alone. This is good for those who are renting a house rather than buying one.

Any such good insurance policy covers every personal possession of yours like furniture, entertainment systems, carpets, clothing, computer and all other valuables of yours. Many policies will also offer coverage for your freezer in case of damage. But this would require you pay some extra amount.

When you are shopping for contents insurance, always look out for cheap contents insurance that will do both your job of insuring and saving your money. Good and cheap contents insurance will also include liability insurance that covers anyone coming to your house and hurting themselves. They can easily make a claim against you. So, contents insurance policies can save you from such situations too.