Let’s take a look at a few of the most commonly misunderstood conditions in the Nedbank Homeowner’s Insurance policy:
If any component or matching material that needs to be replaced cannot be purchased readily in South Africa, we will pay only for the replacement of the component or material that is damaged with the nearest available matching material, and not for the replacement of all of the similar components or material on the property. We will in such a case, however, waive the excess amount payable by you.
We will adjust the amount of your cover and your premium in accordance with building cost increases as determined by the relevant authorities each year, to reduce your risk of underinsurance. However, this does not mean that you don’t need to review your policy and make sure that you aren’t underinsured. Ultimately you are responsible for ensuring that your cover is adequate.
Your policy covers your property only as a residential property. If you do any kind of business from home or sublet your property to multiple tenants, you need to inform us in order for your cover to remain in place and valid.
Although your property may have been assessed by the bank to determine its purchase value, you still need to have it inspected thoroughly and valued to confirm that the structure complies with your policy conditions and that it is insured for the correct amount.
Your policy requires that you ensure that your property remains in good condition and complies with standard building regulations at all times, regardless of whether you are living there yourself or are letting the property to tenants.
Your insurance cover is only valid if the property is not left unoccupied for longer than 30 days. Be sure to let us know in writing if your property is going to be unoccupied or vacant for 30 days or more.
As your insurance provider we aim to give you complete peace of mind with regard to the security of your most valuable asset. This is why we urge you to familiarise yourself with the contents of your insurance policy documents. If you are uncertain about any clauses in your policy documents, get in touch and let us help to clear up any misunderstandings.
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