Tips on obtaining insurance for your holiday home

This year, several thousand Britons will purchase holiday homes abroad. With prices for overseas properties rising steadily, it is essential to obtain sufficient home insurance for your holiday retreat. However, obtaining insurance for overseas properties can often be a very confusing process. Here are some tips to help you protect your 'place in the sun.'

Examine all the options available when purchasing holiday home insurance. Insurance may be obtained either through a local insurer or via a provider in the United Kingdom. UK insurers will invariably be more expensive than foreign providers. However, unless you are fluent in the local language, obtaining insurance abroad can become a hassle. Roy Thomas of the broker, Andrew Copeland International explains: "If getting a cheap policy is a priority then insuring locally will be the way to go, but the cover is often nothing like as comprehensive as you will get through a UK insurer. Often flood, subsidence and earthquake damage will be excluded in a local policy, as well as cover for tenants - and the levels of cover are usually lower. Language barriers can also cause problems, as well as the question of what to do if things go wrong with a claim and you want redress." As such, a UK insurance firm which has experience when it comes to dealing with local laws, taxes and government red tape is a sensible alternative.

Not all insurance providers offer holiday home cover for those properties located in less traditional destinations. Whilst most major insurers provide cover for properties located in Western Europe and other popular destinations such as Dubai, Bulgaria, Croatia, and Cape Verde, many locations particularly in Asia, the Caribbean and the former Soviet republics are not covered by UK home insurers. According to John Maxted of insurance broker Howe Maxted, this has a lot to do with the risks of holding property in the country concerned: "…We used to insure in the Caribbean, for example, we don't anymore as everything would get blown away in hurricanes and it was too expensive for us." Therefore, when choosing an insurance policy, make certain that it provides protection against local hazards to property. For example, if you have recently bought a home on Florida's Gulf coast, it is vital that your insurance policy covers hurricane damage.

Finally, be sure to have a policy in place before you come to exchange contracts on your new home. Most estate agents will want to see a copy of the policy before finalizing the sale.

Choosing the best holiday home insurance policy can be a complicated and confusing process. Luckily, there are a number of organization which will be happy to provide you with impartial advice and assistance. A few are listed below.

Andrew Copeland International
Telephone: 44 208 6568435
Official Website

HiFX
Telephone: 0800 856 3424
Official Website

Howe Maxted
Telephone: 44 208 3091717
Official Website

In addition, the of the British Insurers Brokers' Association can help direct you to insurance companies which provides cover for foreign properties.

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