Home Owners building insurance

[Mimen]

Hi peeps, has anyone ever had to claim for home owners insurance which went well. I want to change my home owner insurance and can find many ads for it. The thing is that the claiming part bugs me. A girl I worked with had to claim for practically a new house after the tornado a year or 2 ago in the Hartebeespoortdam area.
The house was damaged beyond repair due to party collapsed roof, with the rest of it blown away.
I also know you shouldn't only think of what your house is worth when you sell it. It is important to recon in the rubble removal costs.
Anyone with experience in this that can point me in the right direction?

 

[Kosmik]

Hi peeps, has anyone ever had to claim for home owners insurance which went well. I want to change my home owner insurance and can find many ads for it. The thing is that the claiming part bugs me. A girl I worked with had to claim for practically a new house after the tornado a year or 2 ago in the Hartebeespoortdam area.
The house was damaged beyond repair due to party collapsed roof, with the rest of it blown away.
I also know you shouldn't only think of what your house is worth when you sell it. It is important to recon in the rubble removal costs.
Anyone with experience in this that can point me in the right direction?

We've claimed for damages but never to a large extent. Your HOC is normally higher than your selling price, it's meant to cover the cost if the home had to be rebuilt. My Hoc value is probably about 40% higher than my market value at the moment. Gone are the days when building a home was cheaper than buying.

 

[saturnz]

We've claimed for damages but never to a large extent. Your HOC is normally higher than your selling price, it's meant to cover the cost if the home had to be rebuilt. My Hoc value is probably about 40% higher than my market value at the moment. Gone are the days when building a home was cheaper than buying.

did you get a professional valuation? the market/resale value of a property includes the land itself

 

[Kosmik]

did you get a professional valuation? the market/resale value of a property includes the land itself

Nah, I'm working on what we purchased 5 years ago and current insurance value.

 

[pb41]

The sum insured should include the replacement value of the buildings as well as costs of demolition, rubble removal, site leveling, fire department charges and costs of architects, engineers and other professionals to design a new house. An architect’s fees alone can be as much as 10% of the value of the build. If you ignore these costs in calculating insurance value, you would find yourself out-of-pocket in the event of a total loss and possibly not in a financial position to replace your previous property with one of the same standard

In terms of claims experiences, there were many people who claimed for houses completely destroyed in the Knysna fire of 2017. What some found was that their insurance companies excluded the value of structures on their property not significantly affected by the fires. For example the replacement value of swimming pools, paving, fencing, etc. The logic was that these items would not need to be rebuilt or replaced. This practice may have been strictly correct according to insurance law but not something the average homeowner would have foreseen.

 

[wetkit]

Yea, difficult one, but your bank should also be able to help.
I can sell my house now for R2.2m, but insured value is R4.6m

 

[Snyper564]

Yea, difficult one, but your bank should also be able to help.
I can sell my house now for R2.2m, but insured value is R4.6m

Same, my insured value is almost dbl

 

[Hemi300c]

Get and work through a reputable broker
Never insure with a bank.

 

[Gaz{M}]

I need to review my insurance. Paying a fortune for building and meagre contents cover. I'm just to afraid to change from my bank. Don't want any problems down the line.

 

[Hemi300c]

I need to review my insurance. Paying a fortune for building and meagre contents cover. I'm just to afraid to change from my bank. Don't want any problems down the line.

The bank insurance policy on buildings is not up to market standards and their premiums are in general higher than normal routes through insurers.