Because of its geographical location, the Philippines is vulnerable to many catastrophic hazards. Consequently, as it is situated along the Pacific Ring of Fire, the country is exposed to high earthquakes, volcanic eruptions, and floods.

Home Insurance

Due to the country’s high vulnerability to natural disasters, it is vital to employ disaster preparedness techniques to minimize financial consequences for your family and assets such as your house.

It is imperative to insure your house as it is a significant investment you will make throughout your life. Home insurance Philippines provides financial protection and coverage for homeowners against loss or damage to their homes.

A home insurance policy can also be used to show mortgage lenders that your property is adequately insured against natural disasters. Homeowners will have greater chances of having their home loan approved.

Home Insurance Coverage

Standard home insurance is considered the primary insurance policy that homeowners can get for their homes. This type of insurance plan covers two main things: home structure and home contents.

If your home’s structure is damaged by fire, earthquakes, floods, or typhoons, your insurance provider will cover the costs of repair or reconstruction. In addition, standard home insurance also covers damage caused by strikes, riots, other malicious acts, and damage caused by accidental bursting or overflowing of sprinklers, pipes or fittings, and water tanks.

Furthermore, your home insurance covers your personal belongings, such as cash and jewelry. It also provides coverage for home contents, including appliances, furniture, and fixtures.

However, despite home insurance being a vital part of disaster preparedness practices, many homeowners still hold themselves back from purchasing one. This is because of the misconceptions and false beliefs surrounding insurance. For example, some people believe insurance policies are expensive liabilities. In truth, some policies do have high premium rates, but people fail to realize that these high insurance plans with high payable premiums encompass high coverage limits. 

Insurance companies usually detail which home contents are covered and how much coverage is provided for the home structure. Hence, it is essential to review insurance policies and compare every plan with others. This will allow you to decide which house insurance Philippines policy offers you the best protection and is within your budget.

For more information about the coverage included in a standard home insurance policy, see the infographic by