What are the important insurances to take out when buying a first home?

Well, this depends on a lot of factors, but to keep this brief, I will tell you what the norm is….
One insurance that lenders will insist on is something called ‘Building and contents Insurance’ which protects you should something happen to the house; so a flood, a fire and so on, this would kick in and pay you out. Lenders insist on this as at the end of the day, they are lending you money to buy a house that they have a significant interest in until you pay their loan off, so they want security that if something happens to the house, there is something in place to fix this occurrence.

We should have the same outlook, and that is why other insurances are important. most people also take out mortgage cover (or decreasing term assurance) which covers the mortgage debt, should something bad happen to you and / or your partner…. this gives piece of mind for family members that are left behind, that there is no debt to look after on a house….
But should this really be the norm? lets be honest most young people; if the worst happens dont care that the bank will take their home off them and sell it to get their money back… that is their right and they are happy with that; they wont be around to see it so who cares  – right? Pretty accurate, yes, I would say though if you can afford this type of insurance then we would encourage you to take it out, but this is much more important in the next stage of life when you have dependents, then you really want to make sure they are protected!
But what about if you lost your job or were off work sick / injured? How would you pay your mortgage, your rates bill, and so on…. An income protection(IP) policy protects you against these eventualities…. and some reckon an IP policy to be much more important for the first time buyer, to know that they will get an income if they are ill or lose their job, it feels much more real (and perhaps more likely to happen in todays climate).
There is much more to it, but having it in your head to speak to someone about these things independently is the first step.

So when buying a first home, be sure to know all of the insurances that could be right for you. Most are relatively inexpensive but give you great piece of mind, for the biggest purchase of your life!!
Always make sure you speak to an adviser, who can look at what would be best for your own personal circumstances. Someone independent from your bank or building society and at  Firsttimebuyerni com we have are very own team of advisers at hand to talk you through the best steps for you.