28 Sep 2017

How Relocation Affects Your Home Insurance


You've finally bought a new house, and are planning the big move. From packing your belongings to scheduling movers, you might have overlooked on getting insurance in place for your new home. Can you transfer your existing insurance to the new home? Will your home contents be covered during the move? Let us break it down for you. 

Before the move

Understand that your new home is a different property with different risks and needs, hence it requires different coverages. If you're moving from a HDB to a private residence, you'll need to take up a new policy for the new property. If you decide to sell away your existing property, then the policy for that property will be cancelled. Speak to your insurer beforehand to prevent any confusion. 

Relocating overseas? You'll need to cancel your existing home insurance, or it becomes invalid once your current home is unoccupied for 180 days or longer. However, if you still have family living in your current home, then your home insurance plan remains valid. Likewise, if you have tenants living in your existing home, your home insurance remains. Your tenants are also able to purchase their own home content insurance policy. 

When to make the switch

If you are planning to have your current insurer insure your new home, contact them as early as possible and provide a timeline for the move. If the risk profile for your new home is similar to the current home, and the current sum insured is adequate for your new home and home contents, your insurer might be able to simply transfer the policy. Also confirm with them that the coverage on your old home remains in effect until the sale of the property is complete. 

During the move

A major concern when relocating is the condition of your home contents during and after the moving process. Be sure to engage in a reputable moving company for your home contents. Insist on an assessment visit and quotation in black and white - never trust what is promised over the phone. Check with them on their coverage, and if necessary, seek additional coverage. 

After the move

It's recommended to keep a list of your household items. This is so that as you continue to purchase new items or furniture, you can update your list, along with their prices. It then becomes a handy guide when you need to review your home contents insurance.