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What does building insurance cover

Building insurance is a type of property insurance designed to cover the structure of a building, including any permanent fixtures. It provides financial protection against a variety of risks and damages that could affect the physical structure of your home or business property. Let’s break down what building insurance typically covers and why it’s essential for property owners.

 

1. Structural Damage

Building insurance primarily covers the physical structure of the property. This includes:

  • Walls (both interior and exterior)
  • Roof
  • Floors
  • Windows and doors
  • Permanent fixtures such as kitchen cabinets, built-in wardrobes, and bathroom fixtures.

In the event of damage caused by a covered peril, the insurance policy will help pay for repairs or rebuilding. This is especially important for protecting the value of your property.

 

2. Perils Covered by Building Insurance

Building insurance typically covers a wide range of risks, including:

  • Fire: Damage caused by fires, including smoke damage.
  • Storms and floods: Protection against damage from severe weather conditions, such as hurricanes, storms, or flooding.
  • Burst pipes: Coverage for water damage caused by plumbing issues, such as burst pipes or leaking systems.
  • Vandalism: Coverage for damage caused by malicious acts like vandalism or break-ins.
  • Falling objects: Protection against damage caused by falling trees, utility poles, or debris.
  • Natural disasters: In some cases, additional coverage for earthquakes or specific types of disasters may be available, though this may require a separate policy or endorsement.

     

3. Outbuildings and External Structures

Building insurance usually extends to cover outbuildings and other permanent external structures, such as:

  • Garages
  • Sheds
  • Fences
  • Driveways
  • Patios or decks

These structures are often included under the same policy, so any damage to these parts of the property will be covered under your building insurance.

 

4. Accidental Damage

Many building insurance policies offer optional accidental damage coverage. This covers unexpected incidents, such as accidentally damaging walls during home renovations or damaging built-in appliances. It adds an extra layer of protection for situations that are outside typical wear and tear.

5. Liability Coverage

Building insurance can also include liability coverage, which protects you if someone is injured on your property. If a visitor slips, falls, or gets injured due to a structural issue, your policy may help cover medical bills and legal costs if they sue.

 

What Isn’t Covered by Building Insurance?

While building insurance provides broad protection, it doesn’t cover everything. Common exclusions include:

  • General wear and tear: Damage caused by normal aging and wear on the building is usually not covered.
  • Pest infestations: Damage from termites, rodents, or other pests is typically excluded.
  • Flooding or earthquakes: These are often not included in standard policies, though they can be added as separate coverage if necessary.
  • Contents: Building insurance doesn’t cover personal belongings or furniture. For this, you’ll need contents insurance.

 

Building insurance is essential for protecting the structure of your home or business from unexpected events like fires, storms, and vandalism. It covers the physical building, permanent fixtures, and sometimes external styructures like garages or fences. While it doesn’t cover the contents of your property or general wear and tear, building insurance is a vital safeguard to ensure that any major damage to your property doesn’t result in financial hardship. 

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