How to contents insurance – the ultimate guide to contents insurance
Dealing with insurances is among the tasks that you have to do, but don’t really get excited about. Something abstract like contents insurance sounds exhausting and complicated. But can it be easy and uncomplicated? Why do I need contents insurance? What is included in my household contents? There are many questions that come to mind while thinking about a topic like that. We want to help you to better understand contents insurance since insurance can also be easy!
What does a contents insurance pay for and what risks does it actually cover?
Your contents insurance protects you from the respective insured risks. These include fire, water, theft, storm and hail. This is very important because only if your household contents are damaged by one of these specific risks, they will be covered and you will get the damage replaced. Especially theft is one of the most important damages that your contents insurance pays for. With Getsafe you can report such damages via app in only 3 minutes and the sum will be paid out within 2 weeks.
What is contents insurance and why do I need contents insurance after all?
Every item in your home does not only have a personal but also a considerable financial value. If something happens to your belongings, we will protect you from the financial damage and ensure that you can replace your belongings without any worries. Therefore our recommendation is: „As soon as you are not able to replace the goods in your household in case they get destroyed, you should get contents insurance“.
How much does contents insurance cost?
The costs of a contents insurance are relatively low compared to the possible financial damages of your valuable belongings. According to Stiftung Warentest, even in areas where burglaries or storms occur with a higher frequency, a single-family household has to pay no more than 50 Euro per month – nice right? Flats with a smaller area are cheaper anyway and can often be insured for yearly premiums that range between 50 and 150 Euro. With Getsafe, you do not only get one of the cheapest contents insurance policies from 1.37€ per month, but also an above-average service. Since Getsafe does not use brokers and is 100% digital, we are able to bring such a great product to the market.
What is the insured sum and how can I determine it?
The insured sum describes the maximum amount that you will receive in the event of a full loss, i.e. when all your insured items are destroyed or lost. It must reflect the value of all your goods in the household. For full protection, you must determine the correct insured sum. You have two options:
- You can use the automatically calculated insured sum. This is calculated by multiplying your insured living space in square meters by the standard value of 650€. This may seem a lot to you, but it represents the average market value of a German household per square meter of living space.
- You can also set the insured sum manually. Note, however, that the underinsurance waiver (see the next question) only applies if you select the automatically determined insured sum or increase it manually.
What is considered to be contents under the contents insurance anyway?
Your contents include all items that are used privately in your household, such as electronics, furniture and clothing. So basically, it includes everything that would fall out of your home if you would turn it upside down. Excluded from this rule are all items that are not your own, such as your landlord’s fitted kitchen for example. However, borrowed items that are in your home at the time of the reported damage are covered under your insurance.
When am I underinsured? What is an underinsurance waiver?
If, for example, you choose an insurance sum of 20,000€, but your household contents are currently worth 40,000€, you are underinsured. If there is a partial loss in your household now, we would first check the value of your household contents and then pay them out proportionately. In the case of a partial loss, you would only get reimbursed a proportionate amount of 50% of the costs incurred.
If we have agreed a waiver of underinsurance with you, we usually won´t check how much your household contents are really worth in the event of a claim. We will agree the waiver of underinsurance with you if you choose the insurance sum of 650€/square meter or if you increase the resulting insurance sum.
How is the living space determined correctly?
Living space is the floor area of all rooms in your apartment or house. Living space does not include for example all areas of stairs, terraces, balconies, storage rooms and cellars unless they are used for residential or hobby purposes. So in case you have your own gym in the basement or your personal workshop, these rooms would be included in the living space. The best way to find out is to have a look at your rental/purchase contract or your construction documents.
What do I have to take into account regarding my contents insurance?
Your valuables will be treated separately in your household insurance. For example, the compensation limit depends on whether you usually store respective items in a safe or not.
Is my family covered under my household insurance?
If your child is still in training or doing a recognised voluntary service or military service, he or she is insured too. This applies as long as your child lives with you and has not established his or her own household. Your spouse, life partner or other people who live with you in a roommate like set-up are also covered under the policy. The condition for this is that all of you must be registered under the same address and live in the same household. Please note that you must adjust the insurance sum accordingly!
If you want to take out household insurance for yourself and your family, you can find all the important information here …
Does my insurance also apply outside my home?
Yes, your insurance coverage also applies in common areas for washing machines, outbuildings and garages on the insured property up to the insured sum. However, restrictions apply to contents in garages on other properties or in bank safes. Even if you’re a travel madman, you don’t have to worry because your contents insurance also covers your hotel room if you’re temporarily away from home. Temporarily means up to 6 months within in the “Comfort Product”.
Why should I get a glass package extension?
Our Comfort and Premium rates cover almost all of your household items, but do not include building and furniture glazing. Now you might be wondering what is considered building and furniture glazing? To give you some examples: your beautiful wall mirror, the ceramic hob, the modern glass table that your mother gave you when you moved in, or the chic conservatory. With us, everything is conveniently covered within the glass module.
Now, if you have the feeling that you urgently need a simple and flexible household insurance, you can find all the information about our household insurance here…
Do you have any questions? Contact us. The Getsafe team will be happy to advise you. Send an email to [email protected].