Buildings and Contents Insurance
Buildings insurance protects the structure. Contents insurance protects the things you keep inside it. If you are buying with a mortgage, your lender will usually expect buildings insurance to be in place before completion. If you are moving home, remortgaging or reviewing your protection, it is also a good time to check whether your cover still fits your property and possessions. At Connect Mortgages, we help clients understand how buildings and contents insurance may support their wider mortgage and protection plans. The aim is simple. Your cover should match the property, the lender’s requirements, your belongings and your budget.
Buildings and Contents Insurance at a Glance
Buildings insurance covers the structure of your home, including walls, roof, floors and permanent fixtures. Contents insurance covers belongings such as furniture, clothes, electrical items, jewellery and appliances.
Most mortgage lenders require buildings insurance if you are buying a property with a mortgage.
Contents insurance is not usually required by lenders, but it can help protect your possessions. Leasehold flat owners should check who arranges the building insurance.
Tenants usually need contents insurance, not buildings insurance.
What Is Buildings Insurance?
Buildings insurance helps cover the cost of repairing or rebuilding the physical structure of your home if it is damaged by an insured event.
This may include damage caused by fire, flood, storm, escape of water, theft, vandalism, subsidence or impact.
Buildings insurance usually covers:
- Walls, roof and floors
- Windows, doors and ceilings
- Fitted kitchens and bathrooms
- Built-in wardrobes and permanent fittings
- Garages, sheds and outbuildings, subject to policy terms
- Pipes, cables and drains within the policy conditions
- Professional fees, debris removal and alternative accommodation, where included
Buildings insurance is based on the property’s rebuild cost. This is not always the same as the property’s market value.
If you are buying your first home, read our guide to first-time buyer mortgages.
What Is Contents Insurance?
Contents insurance helps protect the belongings inside your home.
A simple way to think about contents is this: if you moved home, the items you could take with you are usually contents.
Contents insurance may cover:
- Sofas, beds, tables and chairs
- Televisions, laptops and mobile phones
- Clothing, shoes and accessories
- Jewellery, watches and valuables
- Kitchen appliances, where they are not built in
- Carpets, curtains and blinds
- Bicycles, garden furniture and stored items, subject to policy terms
Some policies include accidental damage, personal possessions away from home, home emergency cover or legal expenses. These may be optional extras.
You should always check limits, exclusions and high-value item rules before choosing a policy.
When Do You Need Buildings Insurance?
If you are buying a freehold property with a mortgage, buildings insurance is usually needed from exchange of contracts.
This matters because the buyer may become responsible for the property before moving in. Your solicitor or mortgage lender may ask for proof of cover before completion.
If you are remortgaging, your lender may also ask you to confirm that buildings insurance remains in place.
Buildings insurance should be reviewed when:
- You buy a home
- You move home
- You remortgage
- You extend or renovate the property
- You change the property’s use
- You rent the property out
- Your existing policy renews
If you are moving, read our guide to moving home mortgages.
Do Mortgage Lenders Require Buildings Insurance?
Most mortgage lenders require buildings insurance as part of the mortgage agreement.
This protects the lender’s security if the property is damaged. It also protects you from large repair or rebuild costs.
The lender may want to see:
- The property address
- The policy start date
- The rebuild sum insured
- The name of the insurer
- Confirmation that the cover is active
- Any special conditions or exclusions
Contents insurance is different. Lenders do not usually require contents cover, but it can protect your own belongings.
For wider cover linked to your mortgage, visit our mortgage protection and life insurance page.
What About Leasehold Flats?
If you own a leasehold flat, the freeholder, landlord or managing agent often arranges buildings insurance for the whole block.
The cost may be included in your service charge.
However, you should still check the lease and insurance documents. You may want to confirm:
- Who arranges the buildings insurance
- What the policy covers
- Whether communal areas are included
- Whether improvements inside your flat are covered
- Whether you need separate contents insurance
- How claims are handled
Leasehold flat owners often still need contents insurance for their belongings.
Buildings Insurance vs Contents Insurance
| Cover type | What it protects | Who may need it |
|---|---|---|
| Buildings insurance | The structure of the property and permanent fixtures | Homeowners, freeholders and some landlords |
| Contents insurance | Personal belongings inside the home | Homeowners, tenants, landlords with furnished properties |
| Combined cover | Buildings and contents under one policy | Homeowners who want both types of cover together |
| Landlord insurance | Rental property risks, such as buildings, liability and loss of rent | Buy-to-let landlords |
If you own a rental property, you may also need landlord insurance.
Do Tenants Need Buildings and Contents Insurance?
Tenants do not usually need buildings insurance. The landlord normally insures the building.
However, tenants should consider contents insurance.
A landlord’s policy will not usually cover a tenant’s own possessions. If your furniture, clothes, laptop or valuables are stolen or damaged, your own contents policy may help with replacement costs.
Tenants may also want to check whether accidental damage cover is useful, especially where the tenancy agreement makes them responsible for certain damage.
How Much Contents Insurance Do You Need?
Start with a room-by-room list.
Include the loft, garage, shed, garden and storage spaces. Then estimate the cost of replacing items as new, unless your policy works on another basis.
Check:
- Furniture
- Electrical items
- Clothes and shoes
- Jewellery and watches
- Tools and equipment
- Bicycles
- Sports equipment
- Children’s items
- Garden furniture
- Stored seasonal items
High-value items may need to be listed separately. This can include jewellery, watches, art, antiques, designer goods, musical instruments and specialist technology.
You should review your contents cover after major purchases, gifts, renovations or lifestyle changes.
Why Underinsurance Matters
Underinsurance happens when your cover is too low.
For buildings insurance, this may mean the rebuild cost is too low. For contents insurance, it may mean your belongings are worth more than the policy limit.
This can reduce a claim payment.
For example, if your contents are worth more than the amount insured, your insurer may decide that you did not buy enough cover. In some cases, they may reduce the amount paid.
That is why accurate values matter.
How Much Buildings Insurance Do You Need?
Buildings insurance should reflect the cost of rebuilding the property, not the price you paid for it.
The rebuild cost may include labour, materials, demolition, professional fees and site clearance.
You may need a more careful rebuild estimate if the property is:
- Listed
- Non-standard construction
- Thatched
- Very old
- Extended
- In a flood-risk area
- Built with unusual materials
- Used as a rental or mixed-use property
Underinsurance can cause problems at claim stage. If the rebuild cost is too low, the insurer may reduce the payout.
What Is Usually Not Covered?
Every policy is different, so you should read the wording carefully.
Buildings and contents insurance may exclude or limit cover for:
- Wear and tear
- Poor maintenance
- Gradual damage
- Pest damage
- Existing damage
- Deliberate damage
- Unoccupied properties
- Business use from home
- Flood risk, where excluded
- High-value items not declared
- Items taken outside the home, unless added
The cheapest policy is not always the right policy. The right cover should reflect your property, belongings and risk.
Mortgage Advice..
Thinking of getting a mortgage? Our experienced team of skilled mortgage advisers are here to offer the essential guidance you require. Relying on our comprehensive understanding of the mortgage market, we’ll ensure you secure the perfect mortgage to suit your specific situation.
Should You Buy Buildings and Contents Insurance Together?
Many homeowners choose combined buildings and contents insurance.
This can make administration simpler because both parts sit under one policy. However, it is still important to check each part carefully.
Before choosing combined cover, check:
- The buildings sum insured
- The contents limit
- Accidental damage options
- Excess amounts
- High-value item limits
- Alternative accommodation cover
- Escape of water conditions
- Flood and subsidence terms
- Claims process
- Renewal price
Combined cover may not be suitable for every case. Leasehold flat owners, landlords and tenants may need different arrangements.
Buildings and Contents Insurance When Remortgaging
A remortgage is a good time to review home insurance.
Your property may have changed since you first arranged cover. Your contents may also be worth more than before.
Review your policy if you have:
- Built an extension
- Converted a loft or garage
- Added a new kitchen
- Bought expensive items
- Started working from home
- Changed the property to a rental
- Added solar panels or specialist features
- Let the policy renew without checking it
You can also read our guide to remortgage deals.
Buildings and Contents Insurance for Landlords
Landlords usually need different cover from homeowners.
Standard home insurance may not be suitable if the property is rented out.
Landlord insurance may include buildings cover, landlord contents cover, liability cover, loss of rent, tenant damage, and legal expenses. The exact cover depends on the policy.
If you own a buy-to-let property, visit our buy-to-let mortgage page or read more about landlord insurance.
How Connect Mortgages Can Help
We can help you consider:
- Whether your lender needs buildings insurance
- When should the policy start
- Whether contents cover is needed
- Whether a combined policy may suit you
- Whether landlord cover is more suitable
- Whether your existing cover should be reviewed
- How insurance fits with wider mortgage protection
If you want to compare adviser options, you can also use Connect Experts to find protection mortgage brokers or start a property insurance enquiry through the Connect Experts protection search.
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FAQs: Buildings and Contents Insurance
Most frequent questions and answers about buildings and contents insurance
Yes, it is often beneficial to get buildings and contents insurance together. Bundling both types of policy can help you save money on premiums, as well as provide additional coverage for your home and belongings. Additionally, getting buildings and contents insurance from the same provider may help simplify the claim process in an emergency. It’s essential to read the fine print on any policy before committing; there might be restrictions or exclusions that don’t make sense for your situation.
The average cost of building and contents insurance will vary depending on the type of policy you choose, your home location, the size of your premises and its contents. Generally, you can expect to pay around £236* per year for both buildings and contents cover. However, it is essential to shop around to get the best deal. You may be able to save money by taking out a multi-policy discount or increasing your excess. You should also consider any additional features that may be included in a policy, such as accidental damage cover or liability insurance.
Yes, it is recommended to have buildings insurance when renting a leasehold flat. Buildings insurance covers the structure of your property and any permanent fixtures and fittings, such as kitchens and bathrooms. It will guard against damage from natural disasters such as floods or fires and other events like vandalism or theft. Your landlord may require you to cover their part of the building in your policy; check before purchasing a policy.
Yes, most buildings’ insurance policies will cover roof repairs in case of a covered incident. This includes damage caused by storms, animals or other people. Many policies also cover accidental damage to your roof should it develop an unwelcome leak due to general wear and tear over time. To be sure you are adequately covered for roof repair costs, you should check the details of your policy with your insurer.
No, you need not take out contents insurance if you rent your home. It is usually the responsibility of the landlord or property manager to insure the building and any fitted fixtures and fittings.
It depends on the value of your personal possessions. Generally, it is recommended to have at least £50,000 in contents insurance cover if you own a three-bedroom house with moderately priced items inside. However, if you have more expensive belongings – such as antiques or fine art – you may want to increase your policy limit accordingly.
Yes, if you are a landlord, you should have some form of contents insurance in place. Contents insurance for landlords covers any furniture and appliances that you provide in the property for use by your tenants. This includes items like kitchen equipment, televisions, carpets or curtains.
Yes, many contents insurance policies will cover kitchen appliances such as your fridge, stove, microwave and dishwasher. However, it is important to check the details of your policy to find out what specific items are covered and any restrictions or limits that apply.
Accidental damage cover is an optional extra on most contents insurance policies. Accidental damage cover can help protect you against unexpected events like spilling a drink on your laptop, dropping a tablet or damaging furniture by accident.
What next?
We will come back to you quickly to let you know how we can help. If you would like to speak to us immediately, call us on 01708 676 111.
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Liz Syms is the CEO and Founder of Connect Mortgages and Connect for Intermediaries, a leading firm specialising in property investment finance. With more than 25 years of experience in the mortgage and financial services industry, Liz has helped thousands of clients secure both residential homes and investment properties.
Renowned for her expertise and commitment to excellence, Liz is passionate about delivering tailored, high-quality advice on mortgages and protection. Her leadership has positioned her as a trusted figure in the sector, and under her guidance, Connect Mortgages has expanded to a national team of over 300 advisers.
Driven by a vision to make Connect Mortgages one of the UK’s most successful mortgage networks, Liz continues to champion professional standards and client-focused solutions across the industry.
About the Author
Liz Syms is the CEO and Founder of Connect Mortgages, a specialist in finance for property investment. With over 25 years of experience in mortgages and financial services, Liz has helped countless people get their dream homes and investment properties. She is passionate about giving her clients the best advice possible when it comes to financial decisions relating to mortgages and protection and is dedicated to providing the highest quality of service. With her wealth of knowledge in the industry, Liz is a respected leader in mortgages and financial services and has grown her team to over 300 advisers nationally. She strives to make Connect Mortgages one of the most successful companies in its field.