There are three variables that you should consider when taking out home insurance: container, content and risks.
The container refers to all the constructive items of the house: walls, roof, annexes, etc. Its valuation is also subject to the rule of 3: the geographical location, the build quality and the condition.
The content groups all the goods belonging to the inhabitants of the house: furniture, appliances, jewellery… Its value is usually estimated at around a third of that of the container – again the rule of 3.
The risks You must be careful not to fall into the temptation of over-insurance (you ensure a capital greater than the value) and of the under-insurance (the exact opposite). If a loss occurs you will only receive the market value (in the first case) or the proportional part of the insured sum (in the second).
We can advise you before you renew your policy and will also analyse what part of your house is covered by the Owner’s Association policy and ascertain the status of your mortgage. Remember that taking out insurance with the bank is not mandatory.