A Quick Way To Check You Have Adequate Home Insurance

Posted on Friday 21st of August 2015.

home.pngTaking a positive approach to life and making lifestyle choices which are in keeping with this is particularly important when times are challenging.  In terms of finance, it means taking decisions in terms of overall value, rather than just cheapest price.  To quote one definition a cynic is someone who “knows the price of everything and the value of nothing”.

Covering The Essentials Matters A Lot

These days there are plenty of companies specifically dedicated to saving consumers money.  For example, price-comparison sites aim to help consumers find the lowest-priced deal for their situation.  The problem is that there can be a significant difference between the lowest price and the best value.  In terms of insurance for example, the value of higher-priced cover may only become apparent at the time of a claim. 

Home owners looking at damage caused by a water leak may feel a lot better about the situation if their insurance covers “trace and access”.  This means that the insurance company will pay for the work to find the source of the leak and any damage caused as a result of accessing it.  These costs may well add up to far more than the cost of just fixing the leak. 

Similarly assistance with legal costs or home emergencies may sound like “nice-to-haves” until you are in a situation where their value is clear.  There are also more intangible points that can make all the difference to your state of mind.  For example, higher-value policies may offer a dedicated claims adviser.  Budget ones, on the other hand, may leave you dealing with a variety of people.

The Art Of Striking A Balance Is Everything

Essential spending, by definition, is money spent on purchases people need to make.  It's perfectly understandable that most people would prefer to spend the minimum on these items.  It's just worth remembering that the very cheapest deals may not offer the best overall value. 

Instead of just focusing on saving money, it can be good to get some advice on your overall situation.  This can help to get your money working smarter and harder.  Overall this approach can be a much more positive way to organise your finances.