What Does Home Insurance Really Cover?

23 Oct 2025 CW Team

This guide breaks down what home insurance really covers, so you can be better prepared and make informed decisions.

What is home insurance?

Home insurance is a financial product that protects your house and belongings against damage, theft, or accidents.

It generally includes coverage for the building itself, as well as the contents inside the home. Some policies also offer liability protection in case someone is injured on your property.

What does building insurance cover?

Building insurance is a key part of home insurance. It covers the physical structure of your home, including:

Walls, roofs, and floors
Doors and windows
Permanent fixtures like kitchens and bathrooms
Outbuildings such as garages and sheds

This part of the policy helps you recover financially in case of fire, storms, floods, subsidence, or vandalism.

What does content insurance include?

Contents insurance covers the items inside your home that are not fixed in place. This includes:

Furniture and appliances
Electronics such as televisions and laptops
Jewellery and personal belongings
Clothing, books, and home décor

Coverage usually applies to events such as theft, fire, water damage, or accidental breakage.

Tip: Always check the limits and exclusions in your policy. High-value items may require additional coverage or be listed separately.

Home insurance add-ons you can opt for

Home insurance policies often come with optional extras. These can include:

1. Accidental damage cover: Provides protection against unexpected mishaps, such as spilling paint on the carpet or breaking a glass hob.

2. Legal expenses cover: Covers legal costs related to property disputes, faulty goods, or employment issues.

3. Home emergency cover: Offers assistance for sudden emergencies like boiler failure, plumbing issues, or electrical faults.

4. Personal possessions cover: Protects valuable items that you take outside your home, such as phones, watches, or cameras.

What is not covered under standard home insurance?

It is equally important to understand what your policy does not include. Most standard policies exclude:

General wear and tear
Pest infestations
Damage caused by poor maintenance
Flooding or subsidence in high-risk areas unless specifically added

Note: Always read the policy document carefully. Customising your policy with add-ons ensures broader protection.

How are home insurance claims processed?

In the event of damage or loss, you must inform your insurer as soon as possible. The usual steps are:

Notify the insurer and provide details of the incident
Submit proof of ownership and photographs of damage or receipts
An assessor may visit to inspect the claim
Claim is processed and payout is made as per policy terms

Delays can be avoided by maintaining proper documentation and regularly updating your policy.

Is home insurance mandatory?

Unlike motor insurance, home insurance is not legally mandatory. However, if you have a mortgage, your lender will typically require building insurance as a condition of the loan.

Contents insurance is entirely optional but highly recommended for renters and homeowners alike.

Conclusion

Home insurance offers peace of mind by protecting one of your biggest investments, your home. From buildings and contents cover to optional add-ons, understanding what is and is not included helps you make the most of your policy. Always compare policies, read the fine print, and tailor your cover to your specific needs. A little attention now can save you from significant stress and financial burden later.

Home insurance is one of the most important protections a homeowner can have. It offers financial cover for unexpected damages, losses, or liabilities related to your property. However, many homeowners are not fully aware of what is actually included in their home insurance policy.This guide breaks down what home insurance really covers, so you can be better prepared and make informed decisions.What is home insurance?Home insurance is a financial product that protects your house and belongings against damage, theft, or accidents. It generally includes coverage for the building itself, as well as the contents inside the home. Some policies also offer liability protection in case someone is injured on your property.What does building insurance cover?Building insurance is a key part of home insurance. It covers the physical structure of your home, including:Walls, roofs, and floorsDoors and windowsPermanent fixtures like kitchens and bathroomsOutbuildings such as garages and shedsThis part of the policy helps you recover financially in case of fire, storms, floods, subsidence, or vandalism.What does content insurance include?Contents insurance covers the items inside your home that are not fixed in place. This includes:Furniture and appliancesElectronics such as televisions and laptopsJewellery and personal belongingsClothing, books, and home décorCoverage usually applies to events such as theft, fire, water damage, or accidental breakage.Tip: Always check the limits and exclusions in your policy. High-value items may require additional coverage or be listed separately.Home insurance add-ons you can opt forHome insurance policies often come with optional extras. These can include:1. Accidental damage cover: Provides protection against unexpected mishaps, such as spilling paint on the carpet or breaking a glass hob.2. Legal expenses cover: Covers legal costs related to property disputes, faulty goods, or employment issues.3. Home emergency cover: Offers assistance for sudden emergencies like boiler failure, plumbing issues, or electrical faults.4. Personal possessions cover: Protects valuable items that you take outside your home, such as phones, watches, or cameras.What is not covered under standard home insurance?It is equally important to understand what your policy does not include. Most standard policies exclude:General wear and tearPest infestationsDamage caused by poor maintenanceFlooding or subsidence in high-risk areas unless specifically addedNote: Always read the policy document carefully. Customising your policy with add-ons ensures broader protection.How are home insurance claims processed?In the event of damage or loss, you must inform your insurer as soon as possible. The usual steps are:Notify the insurer and provide details of the incidentSubmit proof of ownership and photographs of damage or receiptsAn assessor may visit to inspect the claimClaim is processed and payout is made as per policy termsDelays can be avoided by maintaining proper documentation and regularly updating your policy.Is home insurance mandatory?Unlike motor insurance, home insurance is not legally mandatory. However, if you have a mortgage, your lender will typically require building insurance as a condition of the loan.Contents insurance is entirely optional but highly recommended for renters and homeowners alike.ConclusionHome insurance offers peace of mind by protecting one of your biggest investments, your home. From buildings and contents cover to optional add-ons, understanding what is and is not included helps you make the most of your policy. Always compare policies, read the fine print, and tailor your cover to your specific needs. A little attention now can save you from significant stress and financial burden later.

Infrastructure Energy

23 Oct 2025

GAIL to Set Up Bengaluru CBG Plant Under New Concession Pact

GAIL (India) Limited has signed a 20-year concession agreement with the Bengaluru City Municipal Corporation (BBMP) to set up a compressed biogas (CBG) plant in the city. The project, expected to produce around 10 tonnes of CBG daily, will utilise municipal solid waste as feedstock, contributing to clean energy generation and efficient waste management. The CBG produced will be used in GAIL’s City Gas Distribution network to promote cleaner fuel usage. The initiative aligns with the government’s Sustainable Alternative Towards Affordable Transportation (SATAT) scheme and GAIL’s broader ..

Infrastructure Energy

23 Oct 2025

Uttarakhand HC Lifts 31-Year Ban on ONGC’s Contractual Hiring

The Uttarakhand High Court has lifted a 31-year-old ban on the Oil and Natural Gas Corporation (ONGC) from hiring contractual workers, a restriction imposed in 1993. The decision enables ONGC’s Dehradun establishment to employ personnel on a contractual basis to meet operational requirements. The long-standing prohibition had limited ONGC’s ability to fill vacancies in its technical and administrative departments, often leading to project delays and higher dependence on outsourcing. With the court’s directive, the public sector enterprise can now proceed with temporary recruitments whil..

Infrastructure Energy

23 Oct 2025

JSW Energy’s Utkal Unit Bags 400 MW, 25-Year Power Supply Deal

JSW Energy Limited announced that its subsidiary, JSW Energy (Utkal) Limited, has secured a Letter of Award (LoA) from Karnataka’s Power Company of Karnataka Limited (PCKL) for the supply of 400 MW of electricity for 25 years. The agreement is part of a competitive bidding process for long-term procurement of power to meet the state’s growing energy demand. The 400 MW capacity will be supplied from JSW Energy’s upcoming thermal power project in Odisha. This development strengthens JSW Energy’s presence in the southern market and aligns with its strategy to enhance long-term contracte..