Generally speaking, it covers the structural parts of your home that aren't easily removed such as walls, roof, floors, ceilings and garages. Buildings insurance normally covers damage caused by:
- Flooding, fire and storms
- Structural damage caused by subsidence and fallen trees
- Water damage to your house caused by burst pipes
- Accidental damage, in case you put your foot through the attic (sometimes an optional extra)
If your house has a rebuild value of over £500,000 - your home might be classed as 'high value'. This usually happens with listed buildings as repairing any damage may require specific materials, which can increase costs. It's worth talking with your insurer, as some brands offer high value home insurance as a specific policy.
Before you buy a house, most mortgage lenders will insist that you take out a policy to cover the building.
If you're a landlord, you may need a specialist policy that is designed for rental properties to cover the extra risks involved.
Roughly one in six properties in the UK is at risk of flood damage, and the number of people at risk is predicted to grow significantly over the next few decades.
With this in mind, protecting your house and fixtures from flood damage could save you paying thousands of pounds in rebuild costs.