Your home is likely to be one of the most valuable assets you’ll ever own. But what would happen if a storm damaged the roof, a fire gutted the interior, or a car accidentally drove into your living room wall?

Buildings insurance is designed to cover exactly those kinds of unexpected – and often very costly – events. Whether you’re a homeowner, landlord, or buying a new property, having the right buildings insurance in place can give you essential protection and peace of mind.

In this guide, we’ll explain what buildings insurance is, what it covers, who needs it, and how to choose the right policy for your property in the UK.

What is Buildings Insurance?

Buildings insurance is a type of property insurance that covers the structure of your home – including the roof, walls, floors, ceilings, windows, and any permanent fixtures and fittings, such as fitted kitchens and bathrooms.

If your home is damaged or destroyed by certain insured risks, the policy will pay to repair or rebuild it. These risks typically include fire, storm, flood, subsidence, and vandalism.

What Does Buildings Insurance Cover?

While policies vary between providers, most buildings insurance in the UK will cover the cost of:

• Rebuilding or repairing the structure of your home

• Replacing permanent fixtures (like built-in wardrobes or kitchen units)

• External structures, such as garages, sheds, driveways, fences, and gates (subject to policy limits)

• Professional fees such as surveyors or architects

• Demolition and site clearance

• Alternative accommodation if your home becomes uninhabitable due to insured damage

Typical causes of damage covered include:

• Fire, smoke, and explosions

• Flooding and storm damage

• Theft and vandalism

• Subsidence or heave (the ground moving beneath your home)

• Burst pipes and water leaks (often called “escape of water”)

• Falling trees or aerials

• Impact damage (e.g. from a vehicle or aircraft)

What’s Not Usually Covered?

Buildings insurance doesn’t cover everything. Exclusions vary but often include:

• General wear and tear or poor maintenance

• Frost damage to external pipes (unless the home is heated)

• Damage caused by pests (e.g. rats or termites)

• Deliberate or criminal damage by the homeowner

• Faulty workmanship or materials

• Business use of the property without disclosure

Also, personal belongings, furniture, and electronics are not included under buildings insurance – they fall under contents insurance, which is often sold separately or as part of a combined policy.

Do You Need Buildings Insurance?

If you own your home outright, buildings insurance isn’t legally required – but it’s highly recommended. Without it, you’d be responsible for the full cost of repairs or rebuilding if your property was damaged or destroyed.

If you’re buying a property with a mortgage, your lender will almost certainly require you to have buildings insurance in place before completion. It protects their investment as well as your own.

If you’re a leaseholder (e.g. you own a flat), the freeholder or managing agent usually arranges buildings insurance for the whole block and bills you via the service charge. Always check this before arranging your own cover.

If you’re a landlord, you’ll need specialist landlord insurance, which includes buildings cover tailored for rental properties.

How Much Buildings Insurance Do I Need?

The amount of cover you need is based on your property’s rebuild cost – not its market value. This is the amount it would cost to completely rebuild your home from scratch, including materials, labour, and professional fees.

If you’re not sure, the Building Cost Information Service (BCIS) run by the Royal Institution of Chartered Surveyors (RICS) offers a free online calculator for domestic rebuild estimates.

Keep in mind:

• Rebuild costs are often much lower than market value

• Underinsuring your home could mean you won’t get a full payout if you need to claim

• Overinsuring could mean you’re paying higher premiums than necessary

How Are Premiums Calculated?

Your buildings insurance premium is based on several factors, including:

• The rebuild cost of your home

• The postcode and local risk factors (such as flood or crime levels)

• Your property type (detached, semi, flat, etc.)

• Building materials used (e.g. thatched roofs may cost more)

• Any claims history

• Security features (like alarms or locks)

• Optional extras (such as accidental damage cover)

You may be able to reduce your premium by increasing your voluntary excess, improving home security, or paying annually rather than monthly.

Optional Extras to Consider

Some insurers offer optional add-ons you can include for an additional cost:

• Accidental Damage Cover: For unexpected incidents like drilling through a pipe or damaging your flooring

• Legal Expenses Cover: To help cover the cost of legal advice or proceedings

• Trace and Access: For finding and fixing the source of hidden leaks

• Home Emergency Cover: For urgent repairs such as burst pipes or broken boilers

Always check what’s included as standard and what costs extra.

Final Thoughts

Buildings insurance is one of the most important policies a UK homeowner can have. From natural disasters to accidental damage, it shields you from the high costs of repairing or rebuilding your property after unforeseen events.

Don’t simply opt for the cheapest policy – check the level of cover, exclusions, customer support reputation, and rebuild value. And review your policy each year to ensure your cover still matches your home’s true value and condition.

A well-chosen buildings insurance policy offers peace of mind and financial protection – so you can enjoy your home, knowing you’re covered no matter what comes your way.