2010 Insurance for your Home - 14 Oct 2009 21:54
Many a South African is planning on engaging in the foreign exchange market by leasing their homes to Euro-possessing soccer-crazed fan during the much anticipated 2010 Fifa World Cup. While this may be an excellent way to make money, to be sure, you may end up having to put all your easy-earned cash back into your uninsured house.
If you are planning on leasing out your home, you must consult your insurance company to let them know. The chances of your premiums probably won’t change, but if you claim for damages caused by a typically rowdy soccer fan without having told your insurance provider that you’re leasing your home, they can reject the claim.
Don’t take the call centre agent’s word for it either. Make sure you get it in writing that you are covered for leasing your home, and check the exclusions (small print) of your current policy to make sure leasing is not excluded.
The policy of your leased home probably won’t change too much, save for the theft exclusions to your home contents insurance. Leased home contents insurance policies stipulate that only theft accompanied by forced or violent entry will be covered. If the tenant steals some of your stuff, that’s a risk you’re going to have to take on yourself, and filing charges against someone who has left the country is not as effective as it may seem.
But don’t worry. What are the chances that a complete stranger, known for uncontrollable behaviour and hooliganism who leaves the country shortly after you discover your disheveled home, will cause any damage?
Many a South African is planning on engaging in the foreign exchange market by leasing their homes to Euro-possessing soccer-crazed fan during the much anticipated 2010 Fifa World Cup. While this may be an excellent way to make money, to be sure, you may end up having to put all your easy-earned cash back into your uninsured house. If you are planning on leasing out your home, you must consult your insurance company to let them know. The chances of your premiums probably won’t change, but if you claim for damages caused by a typically rowdy soccer fan without having told your insurance provider that you’re leasing your home, they can reject the claim.
Don’t take the call centre agent’s word for it either. Make sure you get it in writing that you are covered for leasing your home, and check the exclusions (small print) of your current policy to make sure leasing is not excluded.
The policy of your leased home probably won’t change too much, save for the theft exclusions to your home contents insurance. Leased home contents insurance policies stipulate that only theft accompanied by forced or violent entry will be covered. If the tenant steals some of your stuff, that’s a risk you’re going to have to take on yourself, and filing charges against someone who has left the country is not as effective as it may seem.
But don’t worry. What are the chances that a complete stranger, known for uncontrollable behaviour and hooliganism who leaves the country shortly after you discover your disheveled home, will cause any damage?