Under insured homes affects more than 4 out of 5 Australians
A study recently completed in Australia has revealed that more than 4 out of 5 Australians are under insuring their homes in some shape or form. Consequently, costing home owners a knock-on effect of uninsured homes, underinsured homes or in some cases insurance claims dismissed.
The Insurance Council of Australia (ICA) have a rising concern for home owners and their insurance, and are looking for ways to assist in reducing the issue. ICA have engaged with CoreLogic (property data specialists) to provide a beneficial calculator for Australian’s to access and calculate their insurance needs. The calculator is due for release Late 2017, and is known as the Cordell Sum Sure. It is free 24 hours a day to all consumers to help guide them on their insurance requirements.
The calculator is simple and user friendly. By simply typing in your address the calculator will display all data currently recorded on the property and help with understanding the cost of rebuilding the property. This amount is then used to help insure your property for the correct value as opposed to undervaluing or overvaluing it.
The rollout of the Cordell Sum Sure will eliminate the guessing game of property replacement and help home owners gauge more accurate valuations if in this case a necessary claim becomes evident.
The Cordell Sum Sure Benefits
- Estimates the rebuild cost for Australian houses (units and townhouses under strata management will typically be covered under strata insurance rather than home buildings insurance);
- Peace of mind for home owners through greater accuracy and transparency using the online tool to provide a quick and painless way to determine their sum insured;
- Potential homebuyers now have the capability to predict potential insurance costs and determine what the insurance requirements would be.” Reference- Corelogic.com.au
The other remaining issues is the ongoing management and currency of building insurance policies and ensuring they’re current with economic change, environment change and policy variation. With the implementation of the Cordell Sum Sure this aims to mitigate consumer confusion and ensure a more competent insurance assessment when keeping your building insurances up to date.