It’s very important to understand the different types of insurance and how they relate to you as a property owner.
The difference between short-term or non-life and long-term or life insurance does not necessarily relate to length of time in relation to the product.
Life insurance relates to insurance that is taken in relation to retirement, disability and death – these relate to insuring the individual in respect of these types of insurance cover. Non-life insurance relates to insurance that is taken to protect your assets and belongings, which include your property, vehicle, contents of your home and other such items.
A home is the greatest and most precious asset a person possesses. A total loss of your property due to a fire or severe damage, which may be caused by storms for example, could leave you in financial distress and unable to continue to live in your property.
If disaster strikes, the last thing you want to worry about is whether you can afford to rebuild your property. Homeowner’s insurance can act as a financial shield against unforeseen costs, providing essential cover when you need it most. Homeowner’s insurance is not just a financial product, it’s a vital safeguard that offers security and peace of mind.
What does homeowner’s insurance cover?
Homeowner’s comprehensive insurance covers the property, and its permanent fixtures and fittings. This implies everything that forms the structure of the property, which includes but is not limited to, the building, domestic quarters, outbuildings, garages, carports, paving and property walls.
The policy provides cover for sudden and unforeseen damages according to the policy’s insured occurrences. These include, but are not limited to, acts of nature; impact damage; bursting, overflowing or leaking of water apparatus (geysers and pressurised water pipes); theft; fire and explosion.
Why everyone needs homeowner’s insurance
The main appeal of homeowner’s insurance is financial security. Unexpected events can cause significant damage, and without insurance, the cost of repairs can be overwhelming. With the right policy, you have a safety net. Knowing that your property is protected, also gives you peace of mind. Following a disaster, you can focus on recovery rather than worrying about financial ruin. This assurance is invaluable, particularly during a crisis.
Another way to protect your assets:
Credit protection plan
If something happens to you and you can no longer pay off your home loan, your home loan credit protection (HLCP) could provide crucial financial support. In case of untimely death, disability, terminal illness or loss of income, home loan credit protection can step in to cover the monthly loan repayments for a limited period or to settle the outstanding balance in certain circumstances.
Absa’s home insurance guide provides information for homeowners.
With Absa’s home insurance, you’re not just investing in a policy; you’re investing in the assurance that your home is protected in case of unforeseen and costly events.
T’s & C’s apply. Absa is an Authorised Financial Services Provider and Registered Credit Provider.
Reg No. NCRCP7
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