Is home insurance mandatory?
Home insurance is not mandatory by law in Finland, but taking it is highly recommended. Home insurance offers financial security in various damage situations, such as fire, water damage, theft or vandalism. The following article discusses the importance of home insurance, its coverage and why it is recommended to get it.
What does home insurance cover?
Home insurance usually consists of two parts: chattel insurance and real estate insurance. Movables insurance covers your home’s movables, such as furniture, electronics and clothing. Property insurance, on the other hand, covers the building’s structures and fixed installations, such as kitchen cabinets and bathroom furniture.
Why is home insurance recommended?
Although home insurance is not mandatory, taking it out is recommended for several reasons:
- Financial security: Home insurance covers damages that can cause significant financial losses. For example, in the event of a fire without insurance, you will have to pay all the repair costs yourself.
- Landlord requirements: Many landlords require their tenants to take out home insurance before signing the lease.
- Peace of mind: Home insurance brings peace of mind when you know you are protected against unexpected damage.
When should you take out home insurance?
Home insurance should be taken out as soon as you move into a new apartment, whether it is an owner-occupied apartment or a rented apartment. This way you ensure that you are protected from possible damages from the start.
How to choose a suitable home insurance?
Home insurance is offered by several insurance companies, and their terms and prices may vary. It is important to compare the coverage and prices of different insurance policies before making a decision. Pay particular attention to the following points:
- Insurance coverage: Check what damages the insurance covers and what the possible exceptions are.
- Deductible: Find out how big the deductible is in the event of an accident.
- Additional insurance: Consider whether you need additional insurance, such as liability insurance or legal protection insurance.
Summary
Although home insurance is not mandatory in Finland, taking it out is highly recommended. Home insurance offers financial security and peace of mind in various damage situations. By comparing the coverage and prices of different insurance policies, you can find the most suitable option for you. You can read more about home insurance, for example, on Finanssiala ry‘s website.
