Real Estate Investor Magazine South Africa June 2014 | Page 32

INSURANCE

TRACEE HARVARD

Cutting Costs
How to get cheaper cover with greater rewards

W

ith the cost of living on the rise and
the economy placing pressure on our
back pockets, people are trying to find
solutions to relieving the pressure by cutting costs
wherever they can.
While house insurance is an integral part of a
homeowner’s peace of mind, it is one of the largest
costs but that doesn’t mean that because it is important
that it isn’t something you can’t cut down on a bit.
The best way in which to do this, is to look at current
home insurance policies and see where there is place to
alter - look for insurance quotes and compare.
Insurance companies are always trying to undercut
their competitors with greater products, better deals,
better rates, better service and with an offer for ‘more
for less’ so take advantage of that by checking your
home insurance policy -does your cover suit your
needs currently? If not phone around. Or even better,
go online. Most online operators, once you have
entered all your data will provide you with a list of all
the suitable insurance companies that are aligned to
your needs making it that much easier for you.
Another tip is do a once over of your policy once a
year, just to see if all is as it was a year before. Things
change. You buy new valuables, you add value to your
home by opening up your lounge to your pool area

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June 2014 SA Real Estate Investor

so the value of your home increases meaning your
requirements change.
In addition, installing security alarms and the like
will decrease your premium, so research this area
thoroughly as a means to cut down costs.
What to look out for in your policy:

Check for possible liability cover. Liability cover is
for any injury or damage done to other people or
their property, where the homeowner is at fault.

Look at the cover for household contents and
personal property. This pertains to all items inside
the home that are not a part of the structure
itself. These items would include all appliances,
furniture and clothing. An inventory will need to
be complied to assess the level of personal cover
required. Check this clause carefully as certain
items may be excluded or covered under another
type of insurance

Check if there are exclusions to the policy or
certain items that need to be specified such as
jewellery and laptops/other electronic devices.

RESOURCES
RE/MAX
www.reimag.co.za