Is it cheaper to get combined buildings and contents insurance?

Combined buildings and contents insurance from one provider is usually cheaper than buying two separate policies — you typically get a multi-policy discount of 10–20%. It's also simpler to manage (one renewal date, one insurer, one excess to meet per claim). However, it's worth comparing combined policies against the best individual policies on the market — occasionally two separate specialist policies can be cheaper, particularly if you have a high-value contents collection or a complex property type.

What is not covered by buildings and contents insurance?

Common exclusions in standard UK combined home insurance include: general wear and tear and gradual deterioration (maintenance issues are never covered), storm damage to fences, gates and hedges, frost damage to exterior pipes, subsidence in some areas (may be excluded or require specialist cover), business use of the property beyond a nominal level, high-value items above the single-item limit (typically £1,000–£2,000) unless separately listed, items taken outside the home without 'personal possessions' add-on, and damage caused by pets.

How do I choose the right home insurance policy?

Key factors to compare when choosing combined home insurance: rebuild cost accuracy (insure for rebuild value, not market value — use the ABI rebuild calculator), contents sum insured (go room by room for an accurate total — under-insurance leads to proportional claim reductions), excess levels (compulsory plus voluntary — only increase voluntary excess to amounts you could genuinely afford to pay), cover for accidental damage (usually an optional add-on but valuable for families), personal possessions cover away from home (needed if you want cover for items taken outside), and insurer's claims handling reputation (check Defaqto and Trustpilot).

Buildings Contents Insurance -

Combined vs Separate Policies

You can buy buildings and contents insurance as a combined single policy or as two separate policies from different providers. In most cases, combined is the right choice:

Usually best

Combined Policy

One insurer covers both building and contents. Usually 10–20% cheaper than two separate policies. One renewal date, one excess. If a claim involves both (e.g. burst pipe damages building and contents), one insurer handles everything — no disputes about which policy pays.

Sometimes better

Separate Policies

Can be worthwhile if one specialist provider offers significantly better terms for a specific element — e.g. a specialist high-value contents insurer for jewellery collectors, or a specialist building insurer for non-standard construction. Worth comparing once you know your specific needs.

What a Combined Policy Covers

Buildings section covers the physical structure of your home:

Walls, roof, floors, ceilings, windows, doors, and fitted fixtures
Permanent fixtures: fitted kitchen, bathroom, built-in wardrobes
Outbuildings: garage, garden shed (check limits — often capped)
Underground pipes and cables serving the property
Perils covered: fire, explosion, storm, flood, escape of water, subsidence, theft damage to building, impact, falling trees

Contents section covers your personal possessions inside the home:

Furniture, soft furnishings, carpets, curtains
White goods: fridge-freezer, washing machine, dishwasher
Electronics: TV, laptop, games consoles, sound systems
Clothing, jewellery (up to single-item limit), sports equipment
Perils covered: theft, fire, flood, escape of water (and accidental damage if added)

Getting the Rebuild Value Right

Buildings insurance should be based on the rebuild cost — not the market value of your property. In many UK cities, market value far exceeds rebuild cost. Insuring for market value wastes money and doesn't improve your cover.

The rebuild cost includes: demolishing the existing structure, architect and professional fees, rebuilding to current building regulations, and all fixtures and fittings. Use the ABI's House Rebuilding Cost calculator (abi.org.uk) to estimate an accurate figure for your property type, size, and location. Review and update it at renewal — rebuild costs rise with inflation and material costs.

⚠️ Over-insuring wastes money; under-insuring costs you at claim time

If your building is insured for £300,000 but the rebuild cost is £200,000, you're paying 50% more premium than necessary — and still only covered for the actual rebuild cost. If insured for £150,000 but the rebuild cost is £200,000 (under-insured by 25%), an insurer may reduce any claim by 25% (the "average clause"). Get the rebuild value right at the start.

Valuable Optional Add-Ons to Consider

Add-On	What It Covers	Worth It?
Accidental damage	Spills, breakages, DIY accidents inside the home	Yes for families with children
Personal possessions	Items taken outside the home (phone, laptop, jewellery)	Yes if you carry valuables regularly
Home emergency	Callout for boiler breakdown, plumbing emergencies, locked out	Depends on age of boiler/systems
Legal expenses	Legal disputes with neighbours, employers, personal injury	Moderate value, low cost add-on
Specified high-value items	Individual items above single-item limit (jewellery, cameras)	Essential if you own high-value items
Garden cover	Garden furniture, plants, tools beyond standard limits	Moderate — check standard limit first

Making a Claim: What to Do

Report immediately — especially theft

For theft or vandalism, report to the police first and get a crime reference number. Most insurers require this for theft claims. Report to your insurer within 24–48 hours of discovering the loss or damage.

Document everything before cleaning up

Photograph or video all damage before making any temporary repairs. Keep damaged items — don't throw them away before the loss adjuster assesses them. Note the date and time of discovery.

Make only emergency temporary repairs

If immediate action is needed (e.g. boarding up a broken window, stopping a leak), take reasonable emergency action — but don't do permanent repairs without insurer approval. Keep receipts for any emergency costs.

Provide a full list of damaged/stolen items

For contents claims, list every item with make, model, approximate age, and original purchase price where known. Proof of ownership helps (photos, receipts, bank statements) but most insurers will accept a sworn statement for reasonable household items.

Frequently Asked Questions

Standard buildings insurance covers flood damage to the structure as a listed peril. However, properties in high flood-risk areas (check your flood risk at gov.uk/check-long-term-flood-risk) may face exclusions, very high excesses for flood claims, or significantly elevated premiums. The Flood Re scheme — a joint government/industry initiative — allows insurers to offer affordable flood cover to eligible high-risk properties. If you live in a flood zone, check whether your insurer participates in Flood Re.

No — general wear and tear, damp, mould, and gradual deterioration are specifically excluded from virtually all buildings and contents policies. Insurance covers sudden, unforeseen damage — not maintenance issues. If mould results from an insured event (e.g. escape of water from a burst pipe), the resulting damage may be covered. But pre-existing damp, poor ventilation mould, or long-term water ingress through ageing materials are your responsibility to maintain.

Sum insured means your contents are covered up to the total value you declared — if you declared £30,000, you can claim up to £30,000. 'New for old' (replacement as new) means damaged or stolen items are replaced with brand-new equivalents regardless of the age of the original. Most quality contents policies offer new-for-old cover — far better than indemnity cover (which deducts depreciation based on the item's age). Always confirm your policy is new for old, not indemnity, before purchasing.

Important: Home insurance terms and cover levels vary significantly between providers. Always read the policy schedule and exclusions carefully. Educational content only — not regulated financial advice.