IT’S not only health and economic problems that are concerning residents who have retired and are getting on in age.
Now a major concern is how to pay for the house insurance that we all must have to protect the value of our humble abode.
No one likes the thought that, although on paper our house has increased in value, the extra value must be reflected in the annual insurance premium.
So, what do we do? For starters, we shop around for the best price available to us, but this may not yield a good outcome.
However, if you are one of the many people who never claim on your insurance at all and have had insurance for decades and never claimed, then a good way of saving some of your hard-earned cash is to increase your excess (the amount one has to pay) when a claim is made.
Increasing your house excess say to five thousand dollars may decrease your payment to the insurance company.
Keeping your contents policy at a minimum would also help, or a combination of both. But do investigate that approach. We already must pay an excess now, so a little bit more could be prudent.
Unfortunately, in many regions we must contend with the odd flood – some quite bad, most just a nuisance. But still, there are several people who have a huge problem where they live and what to do about it.
It affects quite a few thousand people in many areas near rivers and streams, and it’s a hard one to answer. Especially if you’re getting on in age and moving is out of the question.
Even some of the seniors’ gated villages have problems from time to time, so it’s a real concern for some.
Insurance is a major factor, especially how to pay for this increasing burden on our finances. Maybe you can’t sell at an affordable price, and you can’t afford the insurance costs.
Older people will recall that probably 20-30 years ago the weather was different – many days in summer, right on school time, a storm would occur. Maybe it would only last an hour or so, even when you had seen it building up,with hail often predicted.
A report from Actuaries Australia Institute says that 15% of Australians are spending at least a month’s income to cover home insurance.
Still with the building of the Wivenhoe dam and the subsequent management improvements, one would hope that major floods would be less frequent.
But for all seniors this is a hard one to tackle. How to protect your home better is something that many of us can’t do. We may not be physically able to shift our possessions when the time comes.
Do we just walk away?
With the upcoming summer rainy season almost upon us, it may be prudent to get a few things for an emergency.
Gather up your important papers and keepsakes and a few days’ worth of clothes now, while you have time, and be prepared!
