The fire and allied perils section of a home insurance policy covers the structure of property or the contents of the home including personal belongings or both against any loss or damage caused by fire. In case of a fire accident, a comprehensive home insurance will cover the costs incurred for repair, reconstruction and replacement of building structure and also the personal belongings.
Accidents can strike anytime - be it natural or man-made. One cannot underestimate the loss to property caused in case of an unforeseen accident. While we invest the savings of a lifetime into buying a home, we rarely do understand that our house requires some form of protection too. It is always advisable to invest in a comprehensive home insurance policy as it can protect you against accidents and calamities.
A fire accident in any type of occupancy can cause severe damage to the property and the structure. From the figures reported by insurance companies in 2007-08, statistics suggest that about 45% of the insurance claims in India are due to the losses caused by fire. Hence, it becomes very important to choose a home insurance policy that offers comprehensive cover against fire and associated perils.
What does a Fire Section of Home Insurance Cover?
Any home insurance policy offers coverage for two constituents of your home - the structure that makes the building and the contents of the home. A customer can select a cover for the structure or the content or both.
Here are some of the perils that are covered under the fire section:
- The insurance will cover against fire and allied perils for fixtures and fitting, building and renovation costs.
- Household appliances, home contents, jewelry etc. are covered against fire and allied perils and burglary.
- Allied perils include calamities and accidents like explosion & implosion, fire, lightning, impact damage, damage by aircraft, storm, cyclone, tempest, typhoon, tornado, flood & inundation, malicious damage, strike, bursting of water tanks, leakage from sprinklers and bushfire.
- If your home is damaged by an insured peril including fire accidents, rent for alternative accommodation will be offered.
The cover might vary depending on the insurance provider. Do read the policy wording carefully before applying for a home insurance.