Home insurance covers the loss, destruction or damage of home contents in an insured property, including furniture, appliances, clothing, valuables and interior decorations, in the event of an accident. There is a maximum benefit limit for each covered item and a maximum aggregate benefit amount per year. For valuables such as jewellery, antiques and art pieces, policyholders should declare them to the insurer in general. The insurer may provide extra benefits and adjust the insured amount if a policyholder requests additional cover, depending on their personal needs and the value of the possessions.
The definition of the items covered in home contents differs among insurers, depending on the terms and conditions of the individual policy. In general, animals and plants, contact lenses, mobile phones, electronic software, and items on the roof, balcony or garden, etc. are not included.
Third-party liability insurance, also known as personal liability insurance, is commonly included in home insurance policies nowadays. This insures the policyholder for liability for accidental death or bodily injury of a third-party or accidental loss or damage to a third-party property resulting from the negligence of the insured person. Normally, the products cover both indemnity and legal expenses of both the insured in defending or resisting third party claims and the successful third party. Common incidents that incur personal liability claims include damage to a neighbour’s property due to water seepage, and damage to a third party’s property if something falls from home.
Some also offer worldwide protection in their third-party liability insurance. The coverage is not limited to the home; it covers anywhere outside home, including both liability and compensation for accidental death or bodily injury of a third party or accidental loss or damage to the property of a third-party resulting from negligence of the insured person, subject to the laws of Hong Kong.
The current home insurance products in the market are very comprehensive. Some of them cover building insurance (commonly known as fire insurance) or add it as an optional benefit. To get more comprehensive protection, policyholders should consider purchasing this additional benefit to cover buildings, according to their personal needs, as home insurance generally covers only home contents and owner’s improvements. Fixtures and fittings provided by the developer, such as floors, walls, ceilings, tiles, doors and windows, are excluded.
Some home insurance policies now protect personal possessions beyond the home. The lost, stolen or damaged personal possessions of policyholders can be covered worldwide, including loss of money, unauthorized use of credit cards, replacement cost of personal documents, the cost of repair for mobile phones, laptops and tablets, and the loss or damage of personal belongings.
The coverage of home insurance varies from insurer to insurer. Some policies include additional protection, while others offer optional benefits, such as the following:
Insurers also provide optional benefits for landlords, such as loss of rental income due to tenant delinquency. In addition, some insurers enhanced home insurance coverage for COVID-19, covering home cleaning and sanitising expenses, losses due to school closure, and accidents occurring while working from home during the pandemic.
The above information is for reference only. For the coverage, benefit limits and premium level of a specific home insurance plan, please refer to the relevant policy terms.