For most people, their home is their biggest investment. It stands to reason then that you will want to ensure that you have adequate insurance cover to protect your house and the contents in your home.

Let's look at your insurance options. There are two kinds of insurance that you need to take into consideration, Home Insurance (structure) and Household Insurance (contents).

Home Insurance (structure) (Body Corporate / Sectional Title Insurance)

This is cover over the actual structure of your unit, i.e. the walls, ceiling, floors, doors, windows and anything that's fitted or permanently attached to them, example: Fitted carpets, lighting, cupboards, etc. (If you took your home and removed everything not fixed down or attached to the unit, what's left would be covered by home insurance.)

In a Sectional Title Scheme, home insurance is covered by the Body Corporate, of which each owner is a member. A portion of the levy contribution paid on each unit in the Scheme is allocated to insurance over the building. The home insurance is a legal requirement and is not optional. Home insurance also covers common property.

Household Insurance (contents)

It is in the best interest of any homeowner to take insurance over the contents of their home. This insurance is not compulsory and is at the discretion of the individual homeowner. It covers your own personal effects – everything which you have put in your unit, for example, furniture, appliances, home furnishings and accessories, area rugs and loose carpets, clothing, jewellery and other items which you own and keep in your home.

You are responsible for your own household insurance and should ensure that you make arrangements to take adequate cover against loss of or damage to the possessions in your home. Should you need to make a claim for items in your home, you will claim against your insurance company as per your insurance policy with them.