Buildings insurance protects the structure of your home against damage from fire, flood, storm, subsidence, falling trees, burst pipes, and similar perils. It is the only insurance your mortgage lender contractually requires, and they will check you have it before completing your purchase.\n\nWhat Buildings Insurance Covers — The physical structure including walls, roof, floors, ceilings, doors, windows, and permanent fixtures like fitted kitchens and bathrooms. Outbuildings such as garages and sheds. Boundary walls and fences. Driveways and paths. Fixed installations like central heating, plumbing, and wiring. The policy pays for repair or rebuild following an insured event.\n\nThe Rebuild Cost — Buildings insurance is based on the rebuild cost, not the market value. These are different figures. The rebuild cost is what it would cost to reconstruct your home from scratch if it were destroyed. For a typical three-bedroom semi, the rebuild cost might be 200,000 to 300,000 even if the market value is 350,000 or more. The difference exists because market value includes the land. Use the RICS Build Cost Information Service calculator or your surveyor's assessment to determine the correct rebuild figure.\n\nCommon Exclusions — General wear and tear and gradual deterioration. Damage caused by poor maintenance. Subsidence (included but with a high excess, typically 1,000). Damage from vermin or insects. Damage from faulty workmanship. Flood damage in some high-risk postcodes (though Flood Re makes cover available in most areas). Check your policy wording carefully for specific exclusions.\n\nContents Insurance — Not required by your lender but strongly recommended. Covers your personal belongings including furniture, clothing, electronics, jewellery, and other movable items. Contents policies also typically cover accidental damage, theft, and damage from insured perils. The sum insured should reflect the replacement cost of everything you own. Most people significantly underestimate this figure.\n\nCombined Policies — Most insurers offer combined buildings and contents policies at a discount over buying them separately. This simplifies claims where both the building and contents are damaged (for example, a burst pipe that damages walls and furniture). Comparison sites make it easy to compare combined policy costs.\n\nNew-for-Old vs Indemnity — New-for-old policies replace damaged or stolen items with brand new equivalents. Indemnity policies deduct wear and tear, paying less than replacement cost. Most modern policies are new-for-old, but check before purchasing. Indemnity policies are cheaper but leave you out of pocket.\n\nWhen Cover Must Start — Your mortgage lender requires buildings insurance from the date of exchange (not completion). This is because you have a legal commitment to buy the property from exchange, and if the property were damaged between exchange and completion, you would still be contractually bound to complete the purchase. Arrange cover before exchange and confirm the start date with your solicitor.\n\nReducing Premiums — Increase the voluntary excess (accepting a higher contribution to claims reduces premiums). Install security measures (approved locks, burglar alarms, smoke detectors). Pay annually rather than monthly (monthly payments include interest). Avoid claiming for small amounts (a claims history increases future premiums more than the payout is worth).