Six reasons why moving house could affect your insurance cover

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Did you know that simply changing your postcode can increase or decrease your insurance premiums?

Here are some of the many factors that can potentially affect your home and contents and car insurance cover when you move:

Location factors affecting home and contents insurance

1. Natural hazard risk

There are several location factors that affect your home and contents insurance.
First, your new suburb’s natural hazard risk – determined by its susceptibility to floods, cyclones or bushfires – can significantly affect your premium.

2. Home security

Second, the perceived risk of crime in your new suburb can have a big effect. You can reduce your risk of theft – and potentially your premium – by installing alarms and deadbolts on doors and windows.

3. Age and structure of your new property

Lastly, the age and structure of your new property also plays a role. The construction materials used and overall sturdiness indicate how well your new home could withstand severe damage, and the replacement cost.

Location factors affecting car insurance:

1. Your neighbourhood

Your neighbourhood. Even moving a few streets can change your premiums. It’s not all about car thefts either; factors such as having a high number of road accidents due to a blind corner can affect an area’s risk profile.

2. Where you park your car

Where you park your car can also be a factor. If you now have access to a lockable garage, your car will be more secure and your premium may decrease. Even off-street parking can reduce your premium.

3. How far you drive each year

Finally, how far you drive each year. Some insurers offer lower premiums if you travel under a certain number of kilometres per year. If your new home is closer to work or your child’s school, this could be worth considering.

To avoid any potential issues if you need to claim, it’s vital you update your address with your insurers, and discuss any required changes to your policies as a result of your move.
Click here  to use the smaver updater to update your address.

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