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Let me say at the outset, it is going to cost you. There will inevitably be a substantial excess, in other words you will have to pay the initial piece of a claim. The majority of UK house insurance policies now stipulate a £1,000 excess but you might shop around for less. It's best to have some money put aside! Secondly, your claim could take many months to resolve. There is a lengthy set of exclusions. Here is a likely list. If any of these apply, you might well be without any payment from the insurer. No outside gates, walls, patios, terraces, drives, paths etc. are covered if none of your main buildings or outbuildings are damaged. Movement caused by coastal erosion. Any disturbance of solid floor slabs unless the house's foundations under exterior walls are also damaged by the same cause Bedding down of newly erected buildings or the settling of newly worked ground. Thankfully there are the little plus points that are included in standard cover. These exceptions provide some accidental damage cover with your standard policy. As the property owner you are covered for any damage to underground cables and service pipes. Glass and sanitary fittings. Again you are covered against accidental damage to your built in ceramic hobs, bathroom fixtures and all windows in the building. Beware, that there is very likely to be a clause further on into the policy that will lay out what you can claim for. Each item is treated as a separate item, not as part of a suite. Thus, if your wash basin is accidentally damaged, don't wait for your insurance company to pay out for a full new bathroom suite! Alternative Accommodation. This can be a very important benefit if it becomes dangerous or impossible to stay in your home. Your insurer will pay for alternative accommodation. This could be a local hotel or maybe the extra cost to family and friends if they can give you a roof over your head. At least one major online insurance company will also pay for your pets to go into boarding kennels if necessary. Cover could also offer either loss of rent, if you are a landlord, or payment of rent due. There is a limit, a sum insured which is usually 20% of the total value of the property as specified in the policy. Incidentally, if you sell the house, the purchaser can enjoy the benefit of the cover up to the date of completion provided they have no policy of their own in force at the time. BASIS OF SETTLEMENT - All good policies will offer 'reinstatement'. In other words they are offering 'new for old'. It will be repaired with new materials and if the whole structure is beyond economical repair, it will be completely restored with new materials and no payments from you (except any excess). With some buildings, meeting new regulations might mean increased rebuilding expenses. Sadly, if only part of the building is damaged and restored, the remainder of the building might then come under new building regs and this expense would be down to you. Demolishing, debris removal, having the building shored up etc will all be covered as are professional fees such as architects and surveyors, legal costs and charges for estimates, plans and so on. Insurers prefer to have control of the matter so if cracks start appearing in your walls, report it to them immediately. If you go and instruct your own surveyor they might well recommend drastic measures to prop up your house that might not be required. You would find yourself in dispute with your insurance company. There are countless issues that will arise during a subsidence claim. Owing to the length of time that these claims can take, things such as trying to change your insurer, trying to sell your home and so on can all raise problems. It would take a whole volume to clarify them all. One that is worth mentioning is that if you have moved your cover from one insurance company to another, the previous company might be required to make a contribution to your claim under the Association of British Insurers Domestic Subsidence Agreement. This is to prevent disputes between insurers as to which insurer pays for what. You should not be affected by any negotiation between the companies. But what happens when an underground pipe has leaked and this has led to movement and thus subsidence? What actual peril has occurred and what excess would you have to pay? It is in your interests to show that the loss should be dealt with by the the underground services peril. That way you do not have to pay the large excess for a subsidence claim. The policy clause in question is known as the 'proximate cause'. You must attempt to prove that the proximate cause of the damage is the burst or leaking pipe.
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This article was created by Terry Cod. He has many years of experience working as a claims adjuster with UK insurance companies. His website www.instant-online-insurance.co.uk offers tesco home insurance with online quotes and secure online payment.
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