Insurance Policies

Insurance cover in the UK

You receive insurance when you pay a specific amount of money called a premium to an insurance company that will then cover you and your costs if certain events that are pre-determined take place. Insurance companies like to think of themselves as taking on your risk for doing such things as driving, for example. Depending on the cover you intend to purchase from the insurance company, the precise nature of the risk that is taken on and the amount that you want to be insured for will be found in a policy document which sets out the specific circumstances your insurer will cover the costs if something will happen.

Nevertheless, a lot of important information in the policy document will be in the finer print, which is why it is advisable to contact an independent financial adviser or insurance broker to guide you through the ins and outs of insurance before you purchase it. Gaining advice and guidance from a financial adviser is important to therefore establish that you have obtained the right insurance cover for yourself, as more and more people require special provisions which may not be contained in a standard insurance policy document.

Types of insurance

Insurance can cover health, travel, caravan, business, motorbikes, buildings and even pet insurance, coming in a range of types and classes. Standard insurance policies are generally available to cover almost anything, and everything and can be arranged not just through an insurance company but through an independent financial adviser or insurance broker.

Home insurance

Home insurance is in association with not just insuring your home but the contents of it too. If you are looking at insuring your home, it is important to check out how much all your assets are worth, which will enable you to establish how much cover you need, but most people can easily cover their home with a standard insurance policy. However, if you have a high value of goods, it may be wise to look into a mid-net worth or high-net worth policy. But it must be remembered that not all insurance companies offer these higher quality policies, meaning it would mean potentially buying them through your insurance broker or independent financial adviser.

Motor/car insurance

If you are looking into motor car insurance, the main three types are third party, third-party fire and theft or comprehensive. Third party insurance is the minimum amount of cover that a party can have to drive legally in the United Kingdom. Third party insurance covers a person against claims and costs that arise if you cause injury, death or damage someone else’s property. Comprehensive insurance covers any third-party liability, fire, theft and cost of the repairs to your car, even if the accident was or was not your fault. The cost of the insurance policy that is chosen will completely depend on the value of the car you want to insure, the area that you live in and some other considerations that need to be addressed, as well as driving convictions or penalty points.

Our guide to the Financial Ombudsman Service

The Financial Ombudsman Service in the UK was established in 2001 as a result of the Financial Service and Markets Act 2000.

Seeking a financial services solicitor?

A financial services solicitor can provide essential help when it comes to aspects of financial services, including advice on certain financial services.

The Financial Services Compensation Scheme

The Financial Services Compensation Scheme (FSCS) is a fund set up by the Government as a last resort for those owed money by insolvent firms.