When it comes to choosing your Home and Contents Insurance it is important to carefully consider the level of cover you desire. There are two main types of cover: Listed/Defined Events, and Accidental Damage, and they are very different. A Defined Events policy provides the basic cover outlined below, while Accidental Damage policies cover these events plus, as suggested by the name, damage caused by accident.

Defined Events policies

This is a basic level of cover and it specifically states the events that are covered by the policy. Anything not listed is excluded. Although it varies between insurers, a Defined Events policy generally covers events such as:

• Fire/explosion/smoke
• Storm/lightening/wind/rainwater damage
• Earthquake/tsunami
• Theft and damage caused during a robbery
• Malicious damage/vandalism

Accidental Damage policies

Accidental Damage policies cover accidental loss or damage to building and contents other than those events specifically excluded by the contract. It is usually an optional upgrade to Defined Events cover and is the most comprehensive cover you can get for standard Home and Landlord policies. Some examples of events covered by Accidental Damage include:

• Spilling red wine onto your carpets
• Dropping something onto a stone benchtop and cracking it
• Hammering a nail into a wall and striking a water pipe
• A child accidentally knocking your television over and breaking the screen
• Accidentally smashing your mobile phone while out with friends

Every policy is different so when renewing your Home and Contents policy it is important to make sure you have all the inclusions you think you will need. While Defined Events policies are cheaper, the coverage provided by Accidental Damage policies is far more extensive.

If you are unsure what level of cover to take out, we are happy to talk you through the options and quote on your Home and Contents Insurance if you don’t have it already placed with us.