Do I need home and contents insurance?

Some mortgage lenders will require you to have home insurance when you buy a home to ensure that they get paid, even in the event of a disaster. Outside of this though, there's no legal requirement to have home insurance, it's just wise. It's probably your biggest asset. If you can't afford to lose it, insure it.

What is the difference between home and contents insurance?

Home insurance covers the physical structure of your property, including the building itself and permanent fixtures like walls, roofs, floors, built-in cupboards, plumbing, garages and fences. Contents insurance covers the belongings inside your home, such as furniture, appliances, electronics, clothing and personal items. Many insurers offer combined home and contents insurance, which provides cover for both the building and your possessions under one policy.

What isn't covered under home insurance?

Home insurance usually doesn't cover damage caused by wear and tear, poor maintenance or gradual deterioration. Many policies also exclude certain natural disasters like flood or storm surge unless you add optional cover. Other common exclusions include damage caused intentionally, pest or vermin damage, pre-existing damage and losses that occur while the home is left unoccupied for extended periods. Always check the policy's Product Disclosure Statement (PDS).

What is a cooling off period?

A cooling-off period is a set time after you buy or renew a home insurance policy during which you can cancel it and receive a full refund, as long as you haven't made a claim. In Australia, this period is typically between 14 and 21 days, depending on the insurer. It allows you to review your policy and decide whether the cover suits your needs without penalty.

How much does home insurance cost?

Our latest research from November 2024 shows that the average home and contents insurance policy costs around $2,800. Of course, your own quote will differ as it's heavily dependent on the rebuild cost of your home and the value of your contents.

Do I need home and contents insurance if I rent?

If you rent, you should consider contents insurance only, you won't need building insurance (that's your landlord's job). Contents insurance can protect your belongings so it's worth considering if you have anything of particular value.

Do I need home insurance if I live in an apartment?

You shouldn't need home (building) insurance because your strata fees will cover that but you may like to consider contents insurance to protect your belongings.

How do I calculate how much home insurance I need?

For building insurance, you'll need to know a rough estimate of what it'd cost to rebuild your home. This is not the value of your home as that's different and depends on the housing market. This is the cost of materials and labour to rebuild your home. Unfortunately, there's no real way to calculate this with certainty. It could help to look at home building costs for similar properties in your area. Additionally, if you're getting contents insurance then you'll need to know the value of the items you're insuring so you can ensure your sum insured is enough.

Is flooding covered by home insurance?

It can be. For many policies, it's an optional extra - it's not always included as standard.

Home Insurance Comparison Australia

Are you the:

9 of 65 results

Finder Score	Fire, Storm & Theft Damage	Accidental damage	Escape of Liquid
Finder score 9 Excellent Youi Building and Contents Insurance Most Loved	Finder score 9 Excellent		Optional	Our verdict: With a a range of customisation options, Youi Building and Contents Insurance is a great pick for homeowners after a policy that allows them tailor their coverage.	Get a quote View details Compare product selectionCompare	loading
Finder score 9.2 Excellent QBE Home & Contents Insurance	Finder score 9.2 Excellent		Optional	Get 20% off your first year with a combined policy. T&Cs apply.	Our verdict: Finder's Top Pick for Floods plus cover for other common claims such as fire and theft.	Get a quote View details Compare product selectionCompare	loading
Finder score 9.1 Excellent Budget Direct Home & Contents Insurance Most Loved	Finder score 9.1 Excellent	Optional add-on	Optional	30% off your first year's premium for new combined Home & Contents policies purchased online. T&Cs apply.	Our verdict: The most popular insurer on Finder, Budget Direct prioritises low-cost cover.	Get a quote View details Compare product selectionCompare	loading
Finder score 8.7 Great Honey Home & Contents Insurance	Finder score 8.7 Great		Optional	Get $250 worth of smart sensors with a combined policy. T&Cs apply.	Our verdict: This policy is ideal for customers looking for reasonably priced coverage across a range of categories.	Get a quote View details Compare product selectionCompare	loading
Finder score 9 Excellent Westpac Home and Contents Insurance	Finder score 9 Excellent		Optional	Our verdict: Provided by Allianz, one of the biggest insurers in Australia. Cover for fire, theft, storm, cyclones and more.	Get a quote View details Compare product selectionCompare	loading
Finder score 9 Excellent Qantas Home and Contents Insurance	Finder score 9 Excellent	Optional add-on	Optional	Earn up to 35,000 Qantas Points for joining by 1 April 2026. Plus save 30% on your 1st year’s premium for purchasing a combined home and contents policy online. T&Cs apply.	Get a quote View details Compare product selectionCompare	loading
Finder score 7.4 Great Huddle Black Home and Contents Insurance	Finder score 7.4 Great			Save up to 10% on your policy in the first year. T&Cs apply.	Get a quote View details Compare product selectionCompare	loading
Finder score 9 Excellent ING Home and Contents Insurance	Finder score 9 Excellent	Optional add-on	Optional	Save up to 30% when you purchase cover online. T&Cs apply.	Get a quote View details Compare product selectionCompare	loading
Finder score 6.9 Standard Real Top Home and Contents Insurance	Finder score 6.9 Standard			Get a quote View details Compare product selectionCompare	loading

Showing 9 of 9 results

Finder Score - Home insurance

We crunch eligible home insurance products in Australia to see how they stack up. We rank over 50 products on 16 different features, including price. We end up with a single score out of 10 that helps you compare home insurance a bit faster. We assess home and contents, building only and contents only products individually.

Read the full methodology

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One simple score out of 10 makes it easy to choose.

What is home and contents insurance?

Your home is likely to be the most expensive thing you own, so it's worth protecting. Home and contents insurance aims to do just that. It's a type of insurance that protects the physical structure of your house and your personal belongings inside.

If your home gets damaged by fire, flood, burst pipes or a storm, home insurance helps cover the cost.. Here's a little bit about what it can cover:

Fire, storm and theft damage
Flood - this is often an optional extra, it isn't included as standard in all policies
Accidental damage
Escape of liquid (like a burst pipe)
Malicious damage (like vandalism)

If any of these events occur (plus some others), then you can be compensated for both the expense to repair your home and the expenses you incur while having to live outside of your home.

Home and contents insurance aims to ease the financial burden of sudden, major home repairs that can leave Aussies extremely out of pocket. It's also incredibly convenient when you're under stress and need to get on top of repairs ASAP.

What are the different types of home insurance?

There are four main types of home insurance:

Building insurance

This is straight up home insurance. It includes cover for the home, so the actual building, only. These policies are ideal for landlords who want to protect their investment while it's rented out.

Contents insurance

This insures the belongings inside your home, like your TV or oven. Contents-only insurance is ideal for renters who only need to cover their items within the home.

Home and contents insurance

As the name implies, this is a combination of the two. This means your home building and your contents are insured, ideal for home owners.

Landlord insurance

This can include building insurance and/or contents insurance, based on what you need as a landlord. It's designed to protect your investment home while others are renting it.

How to get the best home and contents insurance policy

Every Aussie wants the best home and contents insurance policy for their home. But the truth is, everyone's idea of "best" looks different. For some, the best policy is an affordable one, for others, it's a policy with comprehensive coverage.

While we can't tell you exactly which policies are the best for your circumstance, we can give you a fantastic starting point. Every year, Finder rounds up some of the best home and contents insurance policies for our annual Finder Awards. We do this to help you find some of the top notch policies in the market.

Our judge analysed 52 policies from 31 providers and compiled a list of the policies they believed were worth a look. If you would like to find out who took out the top spots for this year, head on over to our home insurance Finder Awards page.

In 2026, AAMI received a Finder Award for Best Value Home Insurance. This was because the insurer offered a wide range of cover across key policy features at a decent price point. Allianz received the 2026 Finder Award for Best Comprehensive Home Insurance, as it delivered higher than average benefit limits, flexible excess options and a high satisfaction rating from its customers.

Here's what some of our experts have to say...

Our expert says

"The best way to save money on your home insurance bill is to compare policies every time you go to renew. Sometimes, this doesn't even mean switching! It can be as simple as being informed about other prices so you can negotiate with your current insurer. I did this with my most recent home insurance bill and saved $200."

Peta Taylor

Publisher of Insurance

Our expert says

"Every insurer prices its risk in really different ways, which means you could get two very different quotes on the exact same house and same policy holder. That's why you're almost always going to pay over the offs if you don't shop around regularly. Call your insurer and ask for a better deal and if they can't do anything, do a quick comparison – for 60 minutes of your time, you could save hundreds or even thousands of dollars."

Sarah Megginson

Money expert + media spokesperson

How to find cheaper home insurance

Home insurance premiums are getting more and more expensive so it's critical to ensure you're not paying more than you need to. Here's a few tips to get your home insurance bill down a bit lower:

Compare your options. The best way to cut your bill down is to compare your options. According to Finder research, 69% of home insurance customers have said their premiums have gone up within in the last 12 months. Often, insurers will increase your premium every year because they're assuming you'll let it auto renew and won't question the increase. Loyalty does not pay and there's almost always money to save by switching.
Call your insurer. Often, your insurer is more interested in keeping you as a customer than watching you go elsewhere, so if you call and ask if they can reduce your premium, they'll likely do this. I called my insurer when my home insurance was up for renewal and said "Is there any flexibility on the price?" and they immediately dropped it by $200.
Use sign up discounts. Sign up discounts can save you hundreds simply for being a new customer and signing up online. It's a great way to save! Hot tip: look for percentage discounts rather than a dollar figure discount. 15% off is almost always going to be better for you than $50 off.
Increase your excess. The higher your excess, the lower your premium. However, your excess needs to remain affordable for you in the event that you have to make a claim, so do this responsibly.
Review your policy inclusions. If you're looking to save, it can be worthwhile looking at your policy and seeing if you've got any unnecessary inclusions that are driving your premium up. I once had an insurer tell me that I needed flood cover, but I live on a hill. A really big hill.

What does a typical home and contents insurance policy look like?

A home and contents insurance policy combines two types of cover into one package so you're protected financially if your house or belongings are damaged, destroyed or lost.

Building cover protects the physical structure of your home while contents cover protects the things you own inside the home that aren't permanently attached, like furniture, clothes, electronics tools, and personal items. Some policies also offer portable contents cover for belongings you take outside the home, such as laptops, phones and bicycles.

Most policies will outline a list of insured events, such as fire, storm, theft or burst pipes and may offer optional benefits like accidental damage cover or legal liability coverage if someone is injured on your property.

In practical terms, a typical policy will specify:

Sum insured. This is the amount of cover for both your building and your contents.
Insured events. What risks are covered (e.g. fire, storm or theft).
Excess. The amount you contribute towards a claim, which can range from $1,000 to $4,000.
Optional extras. These are optional things you can have covered on your policy at an extra cost, such as flood cover, portable contents or accidental damage.

Every home and contents insurance policy also comes with a Product Disclosure Statement (PDS). Insurers must have this listed on their site before you purchase a policy.

A PDS outlines exactly what is and isn't covered and contains other important information about your policy. It's important to read this document before taking out a policy, so you're completely across the ins and outs of your policy.

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What to consider when purchasing home and contents insurance

Whether you're switching or taking out a policy for your brand new home, there are a few things to keep in mind when shopping around for home and contents insurance. Remember, think beyond price and focus on getting cover that matches your needs. Here are the key areas to compare:

The level and range of cover

Make sure the policy includes cover for both your home structure and your contents, or choose a bundled home and contents policy if you want both in one. If you're renting, you'll mainly need contents cover, while building cover is essential if you own your home.

Sum insured and replacement value

Work out how much it would cost to rebuild your home and replace your belongings at today's prices. Underinsuring can leave you out of pocket after a claim. Some policies offer 'new for old' cover, replacing items at today's cost rather than depreciated value.

Insured events and exclusions

Check exactly which events are covered and what's excluded. Standard events typically include fire, theft and storms, but some risks like flood or accidental damage may be optional extras. Make sure what matters to you is included.

Excess and premiums

Your excess is what you pay each time you make a claim, while your premium is what you pay on an annual or monthly basis to maintain your premium. Choosing a higher excess can lower your premium, but make sure you can afford it. Compare quotes from multiple insurers to find the best balance.

Optional benefits

Consider whether you need extras like portable contents cover, accidental damage protection or legal liability cover. Some insurers also provide temporary accommodation cover if your home becomes uninhabitable after an insured event.

Limits and specified items

Most policies set limits on certain types of items, like jewellery or artwork. If you would like specific coverage for these items, you may be able to list them separately as specified items to be fully covered.

FAQs

Home insurance covers the physical structure of your property, including the building itself and permanent fixtures like walls, roofs, floors, built-in cupboards, plumbing, garages and fences. Contents insurance covers the belongings inside your home, such as furniture, appliances, electronics, clothing and personal items. Many insurers offer combined home and contents insurance, which provides cover for both the building and your possessions under one policy.
Home insurance usually doesn't cover damage caused by wear and tear, poor maintenance or gradual deterioration. Many policies also exclude certain natural disasters like flood or storm surge unless you add optional cover. Other common exclusions include damage caused intentionally, pest or vermin damage, pre-existing damage and losses that occur while the home is left unoccupied for extended periods. Always check the policy's Product Disclosure Statement (PDS).
A cooling-off period is a set time after you buy or renew a home insurance policy during which you can cancel it and receive a full refund, as long as you haven't made a claim. In Australia, this period is typically between 14 and 21 days, depending on the insurer. It allows you to review your policy and decide whether the cover suits your needs without penalty.
For building insurance, you'll need to know a rough estimate of what it'd cost to rebuild your home. This is not the value of your home as that's different and depends on the housing market. This is the cost of materials and labour to rebuild your home. Unfortunately, there's no real way to calculate this with certainty. It could help to look at home building costs for similar properties in your area.
Additionally, if you're getting contents insurance then you'll need to know the value of the items you're insuring so you can ensure your sum insured is enough.

Sources

Thank you for your feedback!

To make sure you get accurate and helpful information, this guide has been edited by Angus Kidman as part of our fact-checking process.

Written by

Peta Taylor

Publisher of Insurance

Peta Taylor is a publisher at Finder, working across all of insurance. She's been analysing product disclosure statements and publishing articles for over 2 years. Peta is passionate about demystifying complex insurance products to help users make well educated decisions with confidence. Peta is part of Finder's insurance awards team and works alongside editorial and insights experts to bring users the best insurance products every year. See full bio

Co-written by

Gary Ross Hunter

Journalist

Gary Ross Hunter has over 6 years of expertise writing about insurance, including life, health, home, and car insurance. Having reviewed hundreds of product disclosure statements and published over 800 articles, he loves simplifying complex insurance topics for everyday readers. Gary has contributed to major outlets like Yahoo Finance, The Sydney Morning Herald, and news.com.au, and holds a Bachelor of Arts (Honours) in English Literature from the University of Glasgow, along with a Tier 2 General Advice certification, ensuring his work adheres to ASIC’s RG146 standards. See full bio

Gary Ross's expertise

Gary Ross has written 576 Finder guides across topics including:

Health, home, life, car, pet and travel insurance
Managing the cost of living

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92 Responses

MerakiDecember 9, 2021

how can I get a cheap home insurance

Finder

JamesDecember 17, 2021Finder

Hi Meraki,

Comparing policies from multiple providers is a good way to find cheaper home insurance. However, price is only one consideration when it comes to finding the right cover for you.

Our guide to first-time home insurance has a lot of good information on how to customise your insurance to your requirements.

Regards,
James

KaneAugust 31, 2021

I want to insure my Furnitue etc in a container at a self storage facility
What’s the best way to go about this?

Finder

JamesSeptember 1, 2021Finder

Hi Kane,

Home and contents insurance can be customized to have contents in commercial storage covered. If you already have one, you can contact your provider to discuss how you can have it added to your existing policy.

If you are still in search of a cover, you can check out options on our Compare Home and Contents Insurance page.

Regards,
James

TraceyDecember 10, 2019

i want home insurance ‘without’ contents. does anyone know of an insurer.

NikkiJanuary 10, 2020

Hi Tracey,

Thanks for your comment and I hope you are doing well.

Yes, you can find home insurance only for your home through home building insurance. As it says above, this is a stand-alone cover for only your home. It also covers other fixtures on your property, such as garages, fences, and sheds. It protects you against a bunch of natural events, such as fire, storm damage, and floods.

You will find a table that compares the features and benefits of each home insurance provider in terms of what it does and doesn’t cover. This way it will be easier for you to see which provider fits you best. If you need further help, a quick guide on how to compare home insurance is also stated on the page. As a friendly reminder, carefully review the Product Disclosure Statement of the product before applying. You may also contact the insurance provider should you have any questions about their policy.

I hope this helps and feel free to reach out to us again for further assistance.

Best,
Nikki

andrewApril 11, 2018

I been trying to look for a home insurance for me rental property but it was declined due to the following reasons:

1. it is a rental property and we don’t know when we can have a tenant to occupy the property
2. Its still under renovation/construction but water tight now.

can you please help me find a cover for my property?

NikkiApril 11, 2018

Hi Andrew,

Thanks for your message and for visiting Finder.

Sorry to hear that you’ve been declined for home insurance. Perhaps you may want to look at landlord insurance. You can compare and choose insurers as well as information on coverage, benefits, and the difference between home insurance and landlord insurance.

However, many insurers won’t cover you if your property will be unoccupied for over 30 days. It will be considered unoccupied and you may void your home insurance. Each provider imposes its own time limit on the maximum period you can leave your home unoccupied and still expect full coverage under your policy. Some insurers have a maximum unoccupied limit of 60 days, others extend this limit out to 90 days, but some companies require notification if you’ll be away for more than 30 days.

Check the product disclosure statement (PDS) for the limit imposed by your insurer. If you exceed this limit, one of two things will happen:

The insurer may impose an additional excess on any claims that arise while your home is unoccupied.
Your policy may be cancelled.

However, it may be possible to contact your insurer and arrange for home insurance cover to remain in place for the entire time your home is unoccupied. For more information, you may view our review on unoccupied home insurance.

Hope this helps! Feel free to message us anytime should you have further questions.

Cheers,
Nikki

PeterJanuary 7, 2018

If I purchase a property, do I need any form of insurance prior to settlement? Deposit insurance??
thanks

Finder

JoanneJanuary 9, 2018Finder

Hi Peter,

Thanks for reaching out.

That would be the Lenders Mortgage Insurance and it will depend on how much deposit you are able to make.

LMI is an upfront charge you will pay if you borrow over 80% of your property’s purchase price or value when buying a home or investment property.

Because LMI allows many borrowers to purchase a home with as little as a 5% deposit, it’s not just a fee but also a tool. You can learn more about Lenders Mortgage Insurance (LMI). Our guide provides information on how it works, ways to avoid LMI, and answers to commonly asked questions.

Cheers,
Joanne

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