It goes without saying that home insurance is one of the biggest in terms of monetary value for many people apart from home loan. Therefore, opting for home insurance is indeed one of the most important financial decisions that many people have to make.
It’s through proper home insurance that it becomes possible for many working professionals to be able to protect their home. And many real estate companies in Kolkata and other cities allow seamless integration with home insurance.
If you are planning to opt for home insurance, there are several important factors worth prioritising. Check out these important factors below:
1. Get clarity on the down payment option
Almost all insurance companies require policyholders to pay an upfront down payment amount. However, the amount limit (whether minimum or maximum) can vary from one insurance provider to another. As such, it is important to get clarity on the down payment option offered by the home insurance provider you plan to go with.
A general rule of thumb is to pay the downpayment in a significant amount. If your budget permits, it’s best to pay up to 40% of the entire insurance amount. Doing this will help you lower the monthly premiums you have to pay for the policy.
2. Check for discounts and be eligible for them
One of the best parts about opting for home insurance is that you can get significant discounts on the policy if you pass several eligibility criteria. For most home insurance companies, the safety of the home determines the level of eligibility that homeowners can use for policy deductions.
This is why choosing a flat from one of the top real estate companies in Kolkata is totally worth it. Flats and apartments from the top real estate companies are equipped with modern security systems such as 24/7 CCTV monitoring, automated emergency protocols, and professionally equipped security guards. And the better the security level, the higher the discounts you get on your home insurance policy.
3. Check if the home insurance allows for tax deductions
For working professionals, any investment, big or small, can work great in helping them lower tax deductions to a significant extent. As such, it is important to check if the home insurance policy you are planning to go for allows for tax deductions.
Also, if the home insurance policy you are planning to go for includes GST and other taxes, make sure that the insurance provider highlights them and not conceals them as hidden costs.
Also read: 4 mistakes to avoid while buying flats
4. Go for a policy that includes extensive coverages
If you have chosen or plan to go for a low price flat in Kolkata, The chances are that the security system of the apartment will not be the most cutting-edge. In such cases, it’s important to ensure proper protection for your valuable asset, your home, with a home insurance policy that includes extensive coverages.
It goes without saying that almost all home insurance policies include basic coverages, such as natural disasters, fire, riot, and sub-part property build quality. However, you can go above and beyond and ensure the best protection for your property with a policy that includes extended coverages such as high-level theft and burglary, household accidents that involve kitchen fire, and hazardous electrical short-circuit.