If you have purchased a property in Spain then you will no doubt already be familiar with the absolutely essential insurance of buildings insurance Spain which covers the actual physical structure of the building. Almost as important is the next step which is to consider the valuables and possessions actually inside your home.
What would happen if you were burgled and items potentially worth thousands of pounds or thousands of euros was stolen? Equally all sorts of damage can occur inside your home due to natural disasters such as a freezer not working resulting in a minor flood or maybe a bath overflows.
The insuring of the contents of your house or home is obviously known as home contents insurance Spain or contents insurance Spain for short.
Let’s also produce a list of the other benefits of taking out a home contents insurance for your property in Spain. One major benefit is typically that contents insurance covers your liability to third parties on your property if they have an accident or injury. This could include a guest if you are renting a property or a workman or delivery person, literally anybody who has an accident on your property could potentially sue you for medical costs and damages.
Accidental damage to your personal possessions is also usually covered with home contents insurance. Items commonly damaged inside the home would be TV, stereo equipment, DVD players and computers.
Should appliances break down, especially freezes and fridges, these would be covered including the replacement of food inside the freezer.
Realistically the major reason for taking out a home contents insurance policy in Spain is to protect yourself against a break-in from burglars or thieves. Unfortunately this type of crime is high in Spain especially given the fact that your property is likely to be in a relatively wealthy area of Spain, most probably in a popular tourist area which of course criminals are aware that there are rich pickings to be had with many people not thinking enough about the security of their home. As well as cover for your personal possessions, the policy will also cover you for a limited amount of cash in the house.
Many properties in Spain are let out or rented to holidaymakers, this only increases the risk of your home being targeted and burgled. Indeed items may also be stolen or go missing from your home from the very people who have rented your property. For this reason we would recommend you consider going to a specialist Spanish holiday home insurance company who therefore will not be able to claim that your property was rented out or left unoccupied too long, in other words your home contents policy will be specifically for your property being let out or used as a second home or holiday home in Spain.
With the home contents policy you may pay an extra premium for personal possessions cover this is also called all-risks cover which basically covers items that you take outside of the house, typically these would include cameras and mobile phones.
Check whether a quote for home contents insurance covers legal expenses as this is usually an optional extra. It can certainly be worth adding to your policy because it will cover you if you need to go to court or if somebody claims against you. In Spain you will often hear the word ‘denuncia’ in the way someone denounces you and you have to defend yourself in court. Please note you will not be covered if you have been involved in any criminal activity, instead legal expenses are there to protect you for employment, consumer, property and personal injury disputes.
When it comes to claiming on your policy you need to be very careful that there are no exclusions which the insurance company can use to get out of paying out on the claim. Most commonly this would be if you are renting or letting your home so make sure that if you are doing so, that this is okay and that your insurance company are aware of this. There are many companies offering specific holiday home insurance for Spain which of course cover the contents of your house. Another reason for exclusion could be if your home has been unoccupied for a long period of time so make sure these items are not included in the small print for exclsuions. Another reason for exclusion could be the security of your home, it may be that a minimal amount of security such as five-lever mortise locks are required.
Know exactly what your policy and premium covers you for. Be aware if there are any excesses on the policy. If in doubt go to an English-speaking broker or English-speaking insurance company offering home contents insurance Spain. This way you will be able to have the policy explained to you so you know exactly what you’re cover includes or doesn’t include.
Another consideration when it comes to contents insurance is the term new for old. Most policies these days will replace damaged or stolen items with new however some policies will still apply an indemnity policy in which the insurance company will come up with a depreciated valuation for items damaged or stolen. Typically you are bound to value your items at a higher price than the insurance company are willing to give you.
Cheaper Quotes for Home Contents Insurance
The question we are often asked is how or where do I find the cheapest home contents insurance for Spain?
Firstly what you need to do is obtain as many different quotes for home contents as you possibly can. Try putting in a bit of effort yourself by phoning round the different insurance companies and go to insurance brokers in Spain who will take your details and get many different quotes on your behalf. Obviously the insurance broker will be due a commission but that will come from the insurance company and not yourself. Often insurance brokers in Spain are privy to trade deals and they can get a better quote than you can by doing it yourself. Also expat insurance brokers will be able to explain in English what your policy is all about.
Try also find a website that will compare home contents insurance prices. These search engines take your specifications and instantly search online and compare prices for the cheapest Spanish home contents insurance on the market. Always shop around as home contents in Spain is expensive due to the higher level of crime and quotations vary dramatically from one Spanish company to the next.
Do be sensible and don’t necessarily take out the cheapest home contents insurance quote that you are given. Other factors are also important such as the level of coverage. Consider whether the cheapest home contents insurance quote you have found, actually gives you everything you need covering as otherwise the policy and premium is pointless when you need to make a claim.
Related Pages: This article on buildings insurance in Spain comes under the main section of home and house insurance in Spain.