Home Insurance Checklist: Tips to Save on Premiums & Get the Best Coverage

Home Insurance Checklist

The beginning of a new year is the perfect time to review your budget and reassess expenses—including your home insurance policy. Many homeowners unknowingly overpay on premiums or remain underinsured due to outdated policies. Regularly reviewing your home insurance ensures you have the right coverage while also identifying potential savings.

Ernest North, co-founder of Naked Insurance, suggests an eight-point checklist to help homeowners stay protected and avoid costly surprises.

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1. Check Your Insurance Coverage Against Contents Value

It’s easy to accumulate more belongings without updating your home contents insurance. Many homeowners underestimate the value of everyday items such as clothing, small kitchen appliances, and electronics.

According to industry insights, most homeowners only insure around 55% of their home contents’ replacement value, leaving them vulnerable to significant losses in the event of a fire, burglary, or natural disaster.

Tip: Take an inventory of your possessions and ensure your insurance covers the full replacement cost—not just an estimated portion.

2. Insure for Replacement Value, Not Purchase Price

Homeowners often mistakenly insure their belongings based on their original purchase price rather than their current replacement value. Due to inflation, an appliance bought for R15,000 a few years ago may now cost R20,000 to replace. Conversely, some items depreciate, meaning you might be overpaying on premiums for outdated coverage.

Tip: Regularly update your policy to reflect current market prices, ensuring adequate coverage without overpaying.

3. Strengthen Home Security for Lower Premiums

Most insurance providers require basic security measures, such as burglar bars, alarm systems, or security gates. Failure to comply with these conditions may lead to denied claims. However, upgrading security—like installing CCTV cameras or electric fencing—could result in lower premiums.

Tip: Check your policy’s security requirements, install necessary measures, and inform your insurer of any upgrades to potentially qualify for lower rates.

4. Secure High-Value Items Separately

Jewellery, artwork, and high-end electronics require additional security and specific insurance coverage. Many insurers require proof of secure storage, such as safes, to lower the risk of theft.

Tip: If you own valuable items, check whether your policy provides adequate protection or if you need additional coverage.

5. Specify Portable Items for External Coverage

Not all home contents insurance policies automatically cover portable items (e.g., laptops, cameras, or smartwatches) outside the home. Some policies provide coverage even without specifying the items, while others require additional insurance for portable belongings.

Tip: Read your policy details carefully and specify any valuable portable items to ensure they are covered when taken outside your home.

6. Update Your Insurer About Home Improvements

Renovations such as installing solar panels, a new kitchen, or extensions increase your property’s value. However, failing to inform your insurer could lead to coverage gaps or denied claims if damages occur.

Tip: Notify your insurer of any home improvements to ensure your policy reflects your home’s updated value.

7. Maintain Your Home to Avoid Higher Premiums

Insurance providers expect homeowners to take basic precautions to protect their property. Claims for damages caused by neglect—such as leaks, mould, or structural issues—may be denied. Additionally, poorly maintained homes are perceived as higher risks, leading to increased premiums.

Tip: Regularly maintain your home and document repairs to prevent claim disputes.

8. Review Your Policy Renewal Date & Negotiate Premiums

Home insurance premiums typically increase annually, often exceeding inflation rates. However, many insurers are willing to offer discounts if homeowners question the increase or explore competitor rates.

Tip: Track your renewal date and compare quotes from other insurers. If your premium rises significantly, negotiate a better deal with your current provider.

Final Thoughts: Protect Your Home While Saving Money

A well-maintained home and regularly updated insurance policy can save you money while ensuring maximum protection. By following this checklist, homeowners can avoid coverage gaps, unexpected costs, and unnecessary premium increases.

Want to save on home insurance in 2025? Stay proactive, compare policies, and keep your insurer informed about changes to secure the best deal possible.