5 errors that may end in your home insurance declare being denied – The Mirror

Your application can easily be rejected due to errors in the application process – even if they originate from someone else. This is what insurers need to know from the age of the building to when it was manufactured

Price comparison website software can make mistakes, so be careful

Image: Getty Images)

Homeowners who make mistakes when taking out insurance may find that their claims are denied – even if those mistakes are not their own fault.

Errors when buying home contents insurance also count on price comparison sites – even if these are not the fault of the customer.

The problem is when an insurer believes that they have not been given "material facts" about a property.

Exactly what is a material fact will vary from insurer to insurer, but is basically anything that would cause them not to insure you.

The Association of British Insurers said: “An important fact about you or your circumstances that would affect an insurer's decision whether and on what terms a policy is issued.

"Failure to disclose or misrepresent such facts could result in your policy being terminated or your claim being denied."

Common examples of this are:

The age of the building

There is a very simple rough rule of thumb for insurance: the older a building, the more expensive the insurance.

Failure to tell your insurer when you need to make a claim can be a costly mistake
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Image:

Getty Images)

So if an insurer is told that a building is newer than it is, the insurance premium will be lower because the house is considered less risky.

If a claim is nevertheless made, the insurer can reject it if it finds out.

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Their logic is that they charged a lower price for the risk than they would otherwise, which makes the deal unfair.

The property is near a river

Houses near water sources are at risk of flooding, which insurers want to take into account.

Insurers want to know whether a house has ever been flooded or is threatened by it.

If it is flooded later and a claim is made, it can be rejected by the insurer.

Your home is uninhabited for more than 30 days

If you have ever taken out home insurance, you may remember this question – and you may think that it is none of your insurance’s business.

But they ask because an empty house increases the risk of insurance claims enormously.

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The obvious example is the increase in the risk of theft. But it also increases the likelihood that fire and water damage will spiral out of control and cause serious – and expensive – damage.

Again, if you make a claim when the property was empty and you haven't told your insurer, you don't have to accept it.

Are trees and bushes nearby

Another question that may seem strange – but what worries insurers is the drop.

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Subsidence is when properties drop slightly and damage their structure.

One of the main causes of this is thirsty trees and bushes that suck water from the ground.

Therefore, insurers often ask whether trees or large shrubs are planted near the house.

Is the property made of unusual materials?

Some houses, especially older ones, may have a rare design feature – like a thatched roof, wattle walls, felt roofs, and so on.

These can increase the risk of fire and are also expensive to maintain or repair.

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Hence, insurers need to be informed if your home is not made of standard bog materials – or claims could be denied.

The mistakes can be made by others – you still pay

Most home insurance today is bought on price comparison sites rather than directly from insurers or brokers.

These websites have software that pre-populates the answers to specific questions – to speed up the insurance process that many consider a chore.

But this software can do something wrong – and if you don't discover it, an insurance claim can still be denied.

For example, if you type "10 Downing Street" into MoneySuperMarket, it thinks the building is a four-room, pre-war, pre-war bungalow – not a Georgian townhouse with more than 100 rooms.

CompareTheMarket says the prime minister's residence was built in the 1950s – not the 1680s.

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These websites ask you to correct any autofill errors – but you miss them at your own risk.

A spokesperson for CompareTheMarket said, “We check the quality of the data by calculating how often people edit the information they have entered and carefully monitoring our website to make sure people can edit the information clearly when they are using it disagree with the pre-filled data and that they have plenty of options to change their answers if necessary. "

A source close to MoneySuperMarket said some of the mistakes came from other customers entering incorrect information about properties that the company's software then stores and repeats.

The source said, “If historical data is not available, no default will be shown. Most of the information is correct and saves people time. "

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