What is a bedroom rated insurance policy?
The bedroom rated home insurance product is a home insurance product that can include home buildings or home contents insurance or a combination of both.
The basic premium for the standard buildings or contents insurance is calculated by simply using the numbers of bedrooms in the home and this sets the premium and also the sums insured under the policy. Insurance companies introduced this type of policy to provide a faster and more efficient way for home owners to buy home insurance and to reduce the costs to themselves in the administration of policies.
Whilst the policy provides a range of standard sums insured it is possible to tailor the cover under the policy to more accurately reflect your requirements and this can be very important if you have a high level of valuable property or jewellery that may not be included within the standard sum insured limits provided by the policy.
What are the sums insured under a bedroom rated home insurance policy?
The sums insured under each policy will vary from insurer to insurer, but in most cases will probably be higher than you might have automatically selected if your were choosing the sum insured. For example an insurer may provide a quote for a 3 bedroom house based on a buildings sum insured of £500,000 and contents of £50,000. Some policies provide an “unlimited” buildings sum insured.
The sums insured provided by bedroom rated home policies are designed by insurance companies to be more than sufficient for a “normal” home of the number of bedrooms selected and this can be a great advantage to policyholders in not having to correctly assess the value of their buildings and contents. However it is still the responsibility of the policyholder to ensure that the sums insured under the policy are adequate for their needs. This is considered to be the major advantage of bedroom rated policies. more
Will I receive the full sum insured in the event of a claim?
The principle of indemnity still applies to claims under bedroom rated policies and you will only receive and amount equivalent to your actual loss, whether this be in the reinstatement of the buildings or replacement of the contents if on a new for old basis or the value of the property at the time of a loss if insured on an indemnity basis.
How much does a bedroom rated home insurance policy cost?
The cost of bedroom rated insurance policies depends upon a number of key rating factors, other than the number of bedrooms and these are the area the property is located, the age of the policyholder and any previous claims experience at the address.
How do I buy bedroom rated home insurance?
You can apply on-line or call us to discuss your requirements. Most brokers will be able to provide you with quotations on a bedroom policy alongside quotes on a traditional sums insured basis and we are no exception to this.