It is a very important to remember when insuring your property that the amount that you insure your property for is not the market value of the property. It is based on the rebuild value of the property.
Most insurance companies will estimate a rebuild value of €1,000 per square metre for a standard build property. Of course this can be increased to €1,200 per square metre if your home is high specification; e.g you have granite worktops, marble flooring etc.
In the case your house completely burnt down you would still have the land that your house was built on and the insurance would pay to have your home rebuilt to the standard that it was before the fire.
An easy example is: you bought your house for €250,000 and the building is 170 Square metres covered area then the calculation will be as follows:
170 (square metres) x 1,000 (rebuild value) = €170,000 of cover needed.
Which is the exact opposite when it comes to contents insurance.
Contents insurance does not just cover your valuables, it covers everything that you have within your house, from your knives and forks to your bed linen. So when estimating the value of your contents it is important to go through each room including your loft as it is easy to forget things that we have put away for safe keeping; and value the items held inside.
Only when doing this will you realise how much the total value actually is and most people are surprised how things add up.
To help make this easier we have composed a contents calculator to help you when you are doing your estimations, Contact us for further information.