Home Insurance: Is It Profitable ?

Home Insurance: Is It Profitable ? - A lot of people know about insurance. Not even a few know in detail about the ins and outs of insurance. But for some reason, people's interest in insurance is still quite low. 

This is quite contradictory between reality and what people want. Just look at how people will generally refuse to be insurance holders for their assets when they are eager to have certainty that nothing bad will happen to their assets. Take for example home insurance. When asked if people want to become members of home insurance ownership, few agree.

Is home insurance important?

However, everyone wants their home to be okay. They realize that home is their shelter. They are also aware that home is the best place for them to get relaxation, get together with loved ones, and get entertained.

Well, let's assume most people don't know anything about home insurance at all. How can this kind of insurance work and can provide a relationship to our home? What will be our obligations and rights? What exactly is insurance for the house? Let's try to discuss it together here. Who knows, later you can take a lesson that insurance is not something that will harm you, it will even have a lot of positive effects on you.

Home insurance, as the name implies, is insurance provided by the insurance company to guarantee your assets which in this case are in the form of a house. We all cannot know for sure what will happen in the future to your home. Without any tendency to scare you, there are so many bad things that can happen to your home. Take, for example, fires and natural disasters. Both of these things can easily make you lose your home. Your house that was destroyed by these two things is of course your loss.

However, if you have purchased home insurance, you do not need to worry anymore. The insurance company will help you to ease your financial burden or even be your replacement to take care of the financial burden completely. In this case, when your home experiences problems such as being damaged by fire, the insurance company will compensate a sum of money which is the amount that has been agreed upon in advance when you register to become an insurance owner. 

Take for example, when you have bought a house for Rp 100 million. Then you buy the insurance and you are obliged to pay a premium of Rp 1 million annually for several years determined by the insurance company. When suddenly your home experiences problems as mentioned above, you can receive compensation that can vary such as the price of your house intact or 80% or other amounts according to the decision that has been agreed upon earlier.

Not that this can be very mitigating for you as a homeowner if indeed bad things happen to your home. What if something bad doesn't happen to your home? Generally, the premium money you have paid will come back to you. But some insurance companies do not return intact or do not return at all. Of course, you have to be careful in choosing home insurance. Make sure you get insurance from a well-known company so that the premiums you pay regularly will not disappear for free.