GETTING STARTED
Three points to consider
- Buildings and contents need their own sums insured.
- Purchase price is not the same as rebuilding cost.
- Water damage and earthquake cover require careful reading of the terms.
Buildings and contents: what is the difference?
Buildings cover relates to the property and elements considered integral to it under the policy terms. Contents cover relates to the belongings you want to protect inside, according to the policy definition. You may need to consider one, the other or both.
An owner and a tenant may have different needs. Before requesting a quotation, clarify your relationship to the property, its use and any condominium insurance or other policies, to understand what protection is missing and where covers may overlap.
How to set the sum insured
For the building, the starting point is rebuilding cost under the applicable criteria, rather than automatically using the purchase or market price. For contents, make an inventory and clarify the valuation basis specified in the policy.
An insufficient sum insured can affect a claim payment, including through the average clause where provided for and applicable. Ask the intermediary to help explain this consequence and the mechanisms for updating the sum insured. Building work and new purchases may justify a review.
Covers to consider for your home
Fire, escape of water, storms, floods, theft or robbery and liability are examples of risks to check in the quotation. Their inclusion, scope, excesses and limits depend on the product. Earthquake cover should be confirmed expressly.
Do not assume every leak, damp problem or maintenance issue is covered. Identify the events included, exclusions and obligations to maintain the property. The term “multi-risk” does not remove these differences.
Special items and home assistance
Jewellery, works of art, equipment and other valuable items may have their own declaration, valuation and limit rules. Ask what needs to be listed individually and how to prove value when required.
Home assistance is a service with specific terms. Check which situations allow you to use it and whether it covers only the call-out, labour, materials or other costs. Having assistance does not mean every repair is paid in full.
An example: renovations and new contents
After renovating a kitchen and replacing equipment, the previously declared sum insured and description may no longer reflect the facts. A review helps distinguish what has become part of the building from what counts as contents.
This example illustrates preparation for assessment; it does not confirm an item’s classification under a policy or payment of a claim. The answer depends on the policy terms and the specific event.
Preparing a home insurance quotation
The form asks for the risk address, year of construction, floor area, number of rooms and bathrooms, buildings and contents sums insured, and applicable risk aggravating factors. Confirm the details rather than entering approximate figures without clarification.
State the desired start date and explain any particular features of the home to the intermediary. After assessment, compare the quotation with the needs identified and confirm the documents and cover start date.
A question to clarify before deciding
Which items of equipment are included and what valuation method applies if they are damaged?
The product examples mentioned in the frequently asked questions illustrate possible differences. They are not an offer from RMACHADO and do not show that a particular cover is included in your policy. Availability, acceptance and terms must be confirmed in the specific quotation.
What to compare in a quotation
Use these questions to clarify differences that could affect your decision.
| Comparison point | Question to clarify |
|---|---|
| Sums insured | Do buildings and contents reflect what I want to protect? |
| Water and natural events | Which events are covered and excluded? |
| Special items | Is individual declaration required, or do sub-limits apply? |
| Excesses | What share of the damage do I pay? |
Frequently asked questions
Is fire insurance the same as multi-risk insurance?
No. Fire protection and a multi-risk policy have different scopes. Check the covers needed and the obligations applying to your property, without assuming every multi-risk cover is compulsory.
Does the condominium’s insurance protect all my contents?
Do not assume so. The property and sums insured under the condominium’s policy and your own policy must be examined to identify the scope of each.
Is earthquake cover always included?
It should not be assumed. Confirm expressly whether it is included and which sums insured, excesses and conditions apply.
Is the excess the same in every home insurance option?
There may be alternatives. Check the proposed option and how it applies to each cover.
Is home automation equipment always included?
Some arrangements allow it to be included. Identify the items and confirm express inclusion and limits.
How is a damaged appliance valued?
The basis may be purchase or replacement value and may depend on the item’s age. Read the rule in the quotation.
THE NEXT STEP
A review starts with your details.
Prepare the request, check the summary and submit it when correct. A record is created only after final submission; the request does not activate insurance.
Prepare a quotation request ↗From the magazine: a practical read
Home multi-risk insurance: sums insured, contents and water damage ↗
Further information
Consult institutional sources and reference documents. Insurer pages illustrate specific products; their terms are not necessarily included in any quotation presented by RMACHADO GROUP. Some linked sources are in Portuguese.
General information from RMACHADO GROUP. Examples are illustrative and do not guarantee cover, price or outcome. Terms, acceptance and cover depend on the quotation and policy. The intermediary does not underwrite the risks.