Insure your £1 million home but not wanting to spend thousands on premiums then read the Cornerstone blog on our top tips.
Its not just low cost home insurance that Savvy Londoners get from Cornerstone as they also get expert advice on their jewellery and art collections from the professionals, not call centre staff.
So what are the 5 top tips that wealthy property owners and top city earners have up their sleeve to get the best deal and keep their home insurance costs to a minimum.
1. Get an Insurance Broker – speak to a professional not a call centre
It’s no surprise wealthy property owners aren’t using call centres. Most informed people use advisers who have the knowledge and experience to get their investments, tax, legal and insurance needs arranged.
Thirty five years of insurance experience at an insurance brokerage Versus a teenage sales person at a call centre? which one do the wealthy select?
Insurance broking has evolved and brokers are no longer an expensive luxury. Its just that a generation has grown up buying on line and have forgotten the satisfaction of using a broker. More people are returning to brokers to get a better service and those that use Cornerstone discover we have 20 markets for property insurance with close contact with the underwriters. Helpful when you need to cover a property undergoing a major refurbishment or buying at an auction.
Modern technology has allowed insurance brokers to come into their own. We can now download photos of the house we’re insuring, review flood maps and tailor our quotes accordingly. Cover can be placed electronically and payment by card or invoice to suit your needs. The wealthy never stopped using insurance brokers.
2. Material facts – get it wrong and your cover is void
One problem encountered in the modern era of insurance is the move towards a statement of facts rather then a proposal form. A failure to disclose material facts such as claims or a change to your home security can have a devastating affect on the acceptance of an insurance policy or the settlement of losses.
At Cornerstone we recognise that clients make changes & have claims therefore our approach is to keep a record of these facts on your behalf. Providing we have been informed we will act as your agent when making our recommendations and changing insurers and placing the cover. A failure to disclose these facts becomes our problem not yours.
You can relax with Cornerstone, our clients like to know we have their insurance in place and all they need is to call us. If you are looking to insure your £1 million home give us a call with confidence
3. Install a great alarm and ask insurers if they will contribute towards your security costs
If you own a Paul Brookes designed pad in Putney or a handsome double fronted villa in St John’s Wood the savvy owner wants to spend their money on fine wines and skiing rather than dull home insurance.
In order to spend more on the ski slopes and less on insurance we recommend a few penny’s are spent on security. Getting this wrong could cost you thousands both in damage and losses from intruders causing spiralling insurance costs. Window locks, good quality door locks and alarms are the best way to keep burglars out.
Our wealthy clients receive free alarm and security advice when they take out insurance with us. We even have insurers offering £500 towards some security improvements and we’d be glad to explain this in more detail.
4. Choosing the right excess to keep your premiums low
The Daily Mail & the Evening Standard both reported that that the running costs of a London mansion can top £250,000 and include a hefty £67,000 for insurance.
In order to keep a tight control on the insurance costs the wealthy will consider raising the level of the deductible or policy excess. Damage to well maintained buildings is often perceived as a low risk and property owners will often prefer to look after small losses themselves rather than risk a rise to the insurance premium. Excesses of £1,000 upwards are not uncommon in London. When you insure your £1 million home ask Cornerstone for about our top tips to save you money.
Maintaining a good claims track record and looking at insurance as a catastrophe cover rather than a replacement facility can pay dividends in the long run. Wealthy clients appreciate they have more bargaining power if they pay for minor losses and offer underwriters a safe bet.
The ABI estimated that damage caused by burst pipes and leaks was around £7 million every day during the winter of 2010. Remind us to introduce our leak safe system and keep that no claims discount in tack.
5. Economies of scale with your insurance
There are a number of insurers offering to insure your £1 million home as standard with a view to preventing under insurance on average properties. If you have a modest property with a £1 million rebuild cost these policies offer great value for money.
For larger houses between £1 million and £10 million Cornerstone has 9 insurers ready to compete for your business. £11 million and above and economies of scale kick in and the price per £1000 rebuild value starts to fall. We will talk to you about electrical wiring condition and fire detection equipment to get the best rates out of insurers.
Grouping several properties together with cars and contents all with one insurer can provide great economies of scale. Add holiday homes, land and equestrian blocks and we can offer specialist policies and small estates insurance policies.
Whether you have a country mansion, luxury flat or city pile you want the insurance to be looked after by friendly familiar staff who know how to add to your experience not try your patience. Insure your £1 million home with confidence at Cornerstone.
Get a refreshing change to the dull insurance review. Give Cornerstone a call now.
0116 3440040 – Kim Francis