How is the premium for home contents insurance calculated?

Home contents insurance is essential for protecting your belongings—such as your furniture, electronics, clothing, and home decor. All your household belongings can quickly add up to a hefty price tag. The value of your belongings affects the premium for your household contents insurance. Various factors can influence the amount of the premium. We’ll explain how the premium for your household contents insurance is calculated.

How is the premium for home contents insurance calculated?

Every household has a different premium for home contents insurance. The differences in premiums can vary significantly. This is due to a number of factors:

• The value of your household contents: the more valuable your belongings are, the higher your premium will be. Calculate the value of your household contents.
• Type of coverage. The more risks that need to be covered, the higher the premium.
• Home construction materials: The materials used in the home’s construction affect the premium. For example, the risk of fire is much higher for a home with a thatched roof than for one with roof tiles.
• Location of the home: In reality, the risk of a burglary is much higher in Amsterdam than in rural Friesland. The higher the risk of a burglary, the higher the premium.
• Deductible Amount. You almost always have to pay a deductible when you file a claim. This means the claim is only covered once the cost of the damage exceeds the deductible. The higher the deductible, the lower the premium, and vice versa.
• BORG certificate. If you can prove that your home has a BORG certificate or the “Safe Living” policy label, you can often get a discount on your premium. This shows that your home is well protected against burglary.

Contents value

The contents value is the replacement cost of all your belongings in your home. It’s important to calculate this accurately. If you declare a lower amount, your insurance may not fully cover all damages. In that case, you’ll have to pay part of the costs yourself. To calculate your contents value accurately, you can use the household contents value calculator. This often provides protection against underinsurance for a specific period (usually 5 years). This way, you can avoid having to notify your insurer every time you make a purchase.