What are the two main types of household insurance?

Household insurance primarily encompasses two fundamental areas: building insurance and contents insurance. Building insurance is designed to cover the physical structure of a home, including walls, roof, and any permanent fixtures like fitted kitchens or bathrooms. This type of insurance protects against risks such as fire, flood, and other damages that could compromise the integrity of the property itself.

Contents insurance, on the other hand, provides coverage for personal belongings inside the home. This includes furniture, electronics, clothing, and other personal items that could be lost or damaged due to theft, fire, or other covered events. Together, these two types of insurance provide comprehensive protection for homeowners, addressing both the property structure and the contents within it.

Understanding the distinction between these two types of coverage is crucial for anyone considering household insurance, as it allows policyholders to evaluate their needs adequately and select appropriate levels of coverage.