Here’s why retirees may wish to consider home and contents insurance plan

Preparing for retirement is like any new chapter in life, it takes careful consideration. There are many points of concern to think about, including how much money you’ll need, how you’ll access your super and if you’ll be entitled to government funds. However, before you can figure those questions out, you’ll also need to decide where to live.

Whether you decide to move to a retirement home or village, downsize, undertake a sea- or tree-change or simply stay put, it’s important to ensure that your belongings will be protected as you transition into retirement. To do so, you may choose to consider a home and contents insurance plan for your valuables.

What is home and contents insurance?

Home and contents insurance is split into two parts: building and contents. You can purchase them separately or together; depending on your needs, there are additional product options that may suit, such as Flood, Portable contents, Accidental Damage or Motor Burnout.

What does building insurance cover?

Having building insurance will cover the physical structures that make up your home buildings, including the garage, deck, sheds and more. Depending on your policy level, it will also include coverage against loss or damages caused by earthquakes, fire, storms, impact damage – which are all standard inclusions within the Allianz building insurance policy – and more. There may also be exclusions or waiting periods.

What does contents insurance cover?

Contents insurance is an important policy that may cover the sum insured you have nominated no matter where you live. It’s specifically designed to cover any items you store at your home, such as personal belongings like computers, clothing and shoes, as well as furniture and white goods*.

Getting the right home and contents insurance for your transition into retirement

When choosing a home and/or contents insurance policy, you’ll need to first assess what assets you have and their replacement value. Think about all the items within your home that might be damaged or need replacing and consider including these items within your sum insured. Many people underestimate the cost of their belongings and how much it might cost to replace their things or rebuild their home. That’s why you should list out everything you’re wanting to cover and then speak with a financial or insurance professional about whether or not you’ll be covered appropriately. For some contents items, you may need to specify a limit to ensure they are covered to their full replacement value. That way there’ll be no nasty surprises if something does happen.

How much does home and contents insurance cost?

Your home and contents insurance policy cost will depend on a number of factors, which include but are not limited to:

  • If you choose to take out a combined policy or a singular building or contents insurance policy
  • The security features of your home, rental property or retirement village or home
  • Your insurance claims history
  • The amount you insure your belongings for and the excess you include
  • The area you live in and it’s safety assessment
  • Any policy extras and add-ons you need to complete your cover

Why is home and contents insurance so important for retirees?

When you stop working, your assets become even more important as your income is limited to your savings and interest, superannuation, belongings and assets, and any granted government funds. This means that any loss or damage of your home or belongings can be much more detrimental as you get older, including the unfortunate risk of being forced to return to work or even homelessness.

Choosing CCI home and contents insurance

If you’re looking to protect your belongings and home from a range of potential dangers, CCI’s home and contents insurance options may provide the cover you’re after.  e know exactly how to tailor insurance policies to the needs of our clients and are adept at handling issues quickly and efficiently. For more information about CCI home and contents insurance, contact us for a quote today.*

* Please pay attention to the terms and conditions in your insurance policy, within the Product Disclosure Statement.