Your property is likely one of the largest financial investments you will ever make. But what protects the actual structure of your home if something goes wrong? This is where buildings insurance plays a vital role. Whether you are a homeowner, landlord, or buy-to-let investor, having the right buildings cover helps protect you from costly repairs following unexpected damage.

Buildings insurance is not simply a requirement for securing a mortgage. It is an essential safeguard for property owners. It covers the physical structure of your home, including walls, roofs, floors, and permanent fixtures, helping to protect you financially if the worst happens.

A home is more than bricks and mortar. It represents security, comfort, and years of memories. Protecting it should be a priority, not only for peace of mind but also for long-term financial stability. Adequate insurance ensures you are not left vulnerable to sudden and expensive repair costs.

Homeownership is widely recognised as a major investment. As a result, ensuring your property is insured correctly is crucial. Buildings and contents insurance work together to protect your home’s structure and belongings, providing reassurance in the event of unexpected events.

In this guide, Why Are Buildings and Contents Insurance Important, we explain why these policies are essential for homeowners. We explore their benefits, from financial protection to meeting mortgage requirements and securing comprehensive cover.

Whether you are buying your first home or reviewing an existing policy, understanding the importance of buildings and contents insurance will help you make informed decisions and protect what matters most.

What Is Buildings Insurance?

Buildings insurance is a type of home protection policy that covers the cost of repairing or rebuilding your property’s physical structure if it’s damaged by unexpected events such as fire, flooding, storms, or subsidence.

This includes essential elements like the walls, roof, foundations, ceilings, and floors. Permanent fixtures such as your kitchen units, bathroom fittings, and built-in wardrobes are typically included in the cover. Outbuildings, garages, and sometimes garden walls may also be protected under a comprehensive policy.

For homeowners, especially those with a mortgage, buildings insurance is not just recommended; it is often required by your lender to secure the loan. Without it, you could face high out-of-pocket costs for structural repairs.

What Does Building Insurance Cover?

• Structural damage: caused by fire, floods, storms, or subsidence
• Roof and walls: repairs after extreme weather or accidents
• Pipes and drains: burst pipes or underground drainage issues
• Permanent fixtures: built-in kitchens, bathrooms, and fittings
• Outbuildings: garages, sheds, and sometimes garden walls

Tip: This differs from contents insurance, which protects your belongings. Learn more in our “Buildings and Contents Insurance” page.

Is Buildings Insurance Mandatory?

If you’re buying a home with a mortgage, most lenders will require buildings insurance as a condition of the loan. This protects their investment and yours from unexpected costs arising from structural issues or damage.

Even if you own your home outright, buildings insurance remains a smart decision. Without it, you’d be responsible for funding major repairs, which could cost tens of thousands of pounds.

Who Needs Buildings Insurance?

• Homeowners, especially those with a mortgage
• Landlords: Cover properties rented to tenants
• Buy-to-Let Investors: Essential for safeguarding rental income
• Leaseholders: Often included in your service charge, but worth confirming

Not sure what level of cover you need? Our experts can help. “Find Mortgage Advisers” to ensure your property is protected correctly.

Added Protection for Peace of Mind

Some policies include extra features like:

• Alternative accommodation cover if your home becomes uninhabitable
• Liability protection if someone is injured on your property
• Accidental damage options for unexpected incidents like smashed windows

If you’re a landlord or mortgage adviser supporting clients with property purchases, you can “Join our Mortgage network” to access market-leading tools and support.