What is a home insurance policy?

A home insurance policy is meant to protect your house against various manmade and natural calamities. For instance, fire, theft and terrorism as also earthquake and floods. The policy will compensate you for the damage caused to your house’s structure from such incidents. The policy can also cover the contents in your house – furniture, electronic products, kitchen appliances and even valuable items such as jewellery and artwork – for additional premium. However, it will not cover any pre-existing damages to your house or contents prior to buying the policy, structural and manufacturing defects, depreciation and so on. If you are living on rent, you can only buy the contents cover.