THE ESSENTIALS
Before you start
- Rebuilding cost differs from the home’s purchase price.
- Buildings and contents must be identified in the quotation.
- Water, storms and floods require the specific covers to be read.
Start with buildings and contents
The buildings sum insured should reflect rebuilding cost and relevant property features, including the share of common areas, but excluding the land. Market price, taxable value and the loan amount are not automatic substitutes for that calculation.
For contents, make an inventory of furniture, equipment and other belongings you want to protect. Identify items of special value and ask how they should be declared. Keep photographs and receipts in a safe place.
Sources: ASF — Home insurance ↗
Why can a low sum insured reduce a claim payment?
Where there is underinsurance, the average clause may reduce the amount paid for covered damage. Its specific application must be read in the contract.
Illustrative example, without excesses or other limits: a building with an estimated rebuilding cost of €200,000 is insured for €150,000, or 75% of that value. Applying the average clause to covered damage of €20,000 would produce a calculation of €15,000. This example is not a forecast of a claim payment.
A sum insured higher than necessary does not turn the policy into a promise to pay that amount either: compensation relates to the damage and applicable terms.
Sources: ASF — The average clause ↗
Water inside the home does not always mean the same risk
When reviewing the quotation, describe specific scenarios: a burst pipe, rain entering through the roof or flooding. Ask which cover would respond, what exclusions exist and whether tracing the fault or repairing the cause is included.
ASF notes that multi-risk insurance may include storms, floods and other natural events. This does not mean every occurrence can be assumed covered: confirm the policy terms and cover requirements.
Record the answers on a simple sheet with four columns: situation, cover, limit and excess. If an answer is “it depends”, ask what needs to be checked.
Turn renewal into a short review
Take a few minutes to confirm building work, changes of use, new purchases and property details. The review should reflect changes to the home rather than simply comparing this year’s premium notice with the previous one.
Prepare a list of questions before requesting a quotation. For example: are contents included? How is the sum insured updated? Is liability cover included? What assistance is available and with what limits?
If a loss has already occurred, gather a factual description, date, photographs and the information requested by the intermediary or insurer. The website’s support form helps start assistance, but does not confirm cover or replace emergency procedures.
KEEP THESE QUESTIONS
Your checklist for the next conversation
- Property area, use and characteristics reviewed
- Buildings and contents identified separately
- Sum insured and update mechanism confirmed
- Water and natural-event covers reviewed in the policy
- Excesses and specially valuable items checked
FROM THE ARTICLE TO YOUR SITUATION
Let us discuss your situation
Tell us what you want to protect. We review your request and help compare relevant terms. Requesting a quotation does not activate insurance.
Sources and transparency
Sources consulted on 15 October 2026. Numerical examples are fictional and explain concepts. Editorial interpretations are identified in the text.
Information from RMACHADO GROUP. This is not an insurance offer or individual advice. Covers, acceptance, exclusions, sums insured and costs depend on the policy. The intermediary does not underwrite the risks.