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Why You Need Property Insurance in South Africa

At Phoenix Bonds, we strive to be one of the best bond originators in South Africa by building a strong relationship of trust and transparency with every one of our clients.

Part of our commitment to offering the best possible service is to keep our valued customers informed about all things house and home. We know that buying property, whether it’s your first one or not, can be an overwhelming activity.

Therefore, we aim to share all the information you may need when it comes to buying a home, and everything else before, after, and in between. In this article, we talk about the importance of building insurance and how it will benefit you as a homeowner.

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The Benefits of Building Insurance for Homeowners in South Africa

Building insurance is exists to cover the physical structure of your home, along with all permanent fittings and fixtures. In addition, it can also cover you for other liabilities such as personal injury on-site. However, building insurance does not protect you against theft; for this you will need household contents insurance.  

Here are four major benefits of building insurance.

Property Damage

Damage to the actual structure of your home occurs mostly as a result of natural disasters such as flash floods, hail storms, lightning, and damage caused by wildlife such as baboons raiding your home.

It may seem like your chances of experiencing any of these is little to none, but these are all events that are common in South Africa and having building insurance will cover you for loss and damage caused by such.

Burst Geyser and Electrical Issues

Geysers are the source of hot water in any modern home and burst geysers are relatively common too. Not only does building insurance cover the costs to replace your geyser, but it also covers damage done to the physical structure of your home as a result of the burst geyser.

Additionally, if there are any electrical faults or issues in your home, building insurance can help cover the costs related to fixing these issues.

Personal Injury

It’s not common knowledge that building insurance covers the homeowner in the event of personal injury taking place on the property. This means that if an employee or contractor is injured, or falls ill due to unsafe working conditions, then building insurance will help cover compensation claimed by the employee.

Damage Caused by Loadshedding

Loadshedding is unfortunately a very normal part of our lives in South Africa but rolling blackouts can cause damage to appliances, ultimately shortening their lifespan. In addition, frequent power surges can seriously damage electrical appliances. Building insurance can cover you for such damage.

Know Your Plan

When shopping around for building insurance, it’s important to understand the policies you are considering as not all insurance policies are the same. Every homeowner has different circumstances and, therefore, different needs. It’s important to choose a policy that meets these needs. Get your broker to explain all the fine print before you sign a contract and make sure that you know exactly what you are covered for.

Phoenix Bonds – Independent Bond Originators in South Africa

Whether you buy your dream home, build it yourself, or move into a cozy lock-up and go, getting building insurance should be a non-negotiable component of every homeowner’s life. 

While building insurance can be expensive, getting a good deal on your home loan will free up some cash flow which you can use towards your monthly insurance premium. Our expert bond originators in South Africa can help you find the best possible home loan deal.

We specialize in home loans, commercial bonds, and development approvals.

Contact us for more information.

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