Budget Direct Building Insurance
For a house valued at $1 million, our research showed a difference of $1,996 between the cheapest and most expensive home insurance policy. Compare policies and see how much you can save.
As someone building a house I can't stress enough making sure you get building insurance. The cost of materials has gone up significantly and big ticket items like retaining walls and driveways cost tens of thousands of dollars. I have peace of mind knowing that I'm covered for the investment.— Aaron McAllister, utilities publisher
Building insurance protects the physical structure of your property from financial loss. The policies are designed to cover your residential home, including flat units, townhouses, terrace houses and free-standing homes.
While building insurance policies can vary, they'll usually cover these parts of your home.
Insurers have a set of defined events where, if they occur, you should be covered. These include:
Storms
Lightning
Fire
Cyclones
Theft and burglary
Vandalism
Water damage/ escape of liquid
Impact damage
Well, we did some research and found that the cheapest policy was $101 a month.
Premium prices will change based on your individual circumstances, so while our research - from 17 home insurers, says the cheapest policy is $101, that was based on our criteria.
Make sure to get a quote (or multiple), so that you get the best value for your money.
| Brand | $500,000 Building - Monthly price | $500,000 Building - Annual price | $1,000,000 Building - Monthly price | $1,000,000 Building - Annual price | Get quote |
|---|---|---|---|---|---|
 | $145.90 | $1,750.78 | $273.86 | $3,286.37 | More info |
 | $145.90 | $1,750.78 | $273.86 | $3,286.37 | Get quote |
 | $122.41 | $1,311.43 | $203.04 | $2,175.42 | More info |
 | $123.84 | $1,230.13 | $201.92 | $2,010.95 | More info |
 | $116.69 | $1,250.23 | $193.58 | $2,074.03 | More info |
 | $101.10 | $1,125.62 | $174.18 | $1,981.97 | More info |
 | $120.97 | $1,451.69 | $159.77 | $1,917.18 | |
 | $135.54 | $1,355.42 | $219.07 | $2,190.70 | More info |
 | $110.16 | $1,321.88 | $110.16 | $1,321.88 | More info |
 | $138.02 | $1,401.40 | $200.68 | $2,054.50 | Get quote |
 | $139.22 | $1,434.56 | $202.18 | $2,057.17 | Get quote |
 | $143.02 | $1,415.42 | $202.46 | $2,075.05 | More info |
 | $113.11 | $1,300.21 | $136.30 | $1,578.56 | More info |
 | $112.00 | $1,198.00 | $187.00 | $1,999.00 | More info |
 | $155.84 | $1,582.35 | $226.58 | $2,319.80 | Get quote |
 | $103.73 | $1,111.32 | $172.07 | $1,843.59 | More info |
 | $113.06 | $1,221.05 | $154.02 | $1,663.41 | Get quote |
It's easy to get overwhelmed by a insurers product disclosure statement (PDS). We've explained a few insurance terms so you can understand your building insurance policy a bit better.
| Term | What it really means |
|---|---|
| Defined events | These are the events that your insurer will cover you for, if they occur. They'll be specified in your PDS. Common insured events that most policies cover include storms, fires and thefts. |
| Accidental damage | Accidental damage is when something unexpected happens to your house or belongings that causes financial loss. This is usually offered as an optional add-on to your home insurance policy. |
| Sum insured amount | This is usually the value of your property, and the maximum payout you'll get from the insurer. You'll declare this amount to your insurer, and that's how much money you'll get back if you lose your property to an insured event (minus any excesses). |
| Safety net | Some home insurers offer a buffer (safety net) if your sum insured amount isn't enough to cover the damages or losses to your home. |
| Total replacement | Some home insurers offer to cover you for the total amount if you lose your home. It's a benefit only offered by a few insurers and can help you avoid underinsurance. |
Having the right level of protection in place can save you thousands of dollars in the long run. However, some estimates suggest that as many as 80% of Aussie's are under-insured. Whilst it may seem appealing to cut costs at first, the risk of not having enough cover in place is not worth it.
The building insurance policy you take out should cover the total replacement cost of your property, including other expenses which may arise such as temporary accommodation. If you're under-insured, you'll have to pay the gap between what your policy covers and the replacement cost for your building, which in many cases could be a substantial amount of money.
The building insurance policy you take out should cover the total replacement cost of your property, including other expenses which may arise such as temporary accommodation. If you're under-insured, you'll have to pay the gap between what your policy covers and the replacement cost for your building, which in many cases could be a substantial amount of money.
Buying your policy online can save you heaps. Here are some promotions available at the moment.
15% online discount on home insurance 6% off on your premium for the first year + $10 credit Get 10% off your first years’ premium with QBE Building only Insurance
Deal
Save 15% on your first year's premium when you purchase cover online. T&Cs apply.
Deal
Sign up online and get 6% off your policy for the first year plus $10 ongoing monthly credit. T&Cs apply.
Deal
Discount is for new customers who sign up online. Terms and conditions apply.
Compare building insurance policies
Picture: GettyImages
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