For a house valued at $1 million, our research showed a difference of $1,996 between the cheapest and most expensive home insurance policy. Compare policies and see how much you can save.
As someone building a house I can't stress enough making sure you get building insurance. The cost of materials has gone up significantly and big ticket items like retaining walls and driveways cost tens of thousands of dollars. I have peace of mind knowing that I'm covered for the investment.— Aaron McAllister, utilities publisher
Building insurance protects the physical structure of your property from financial loss. The policies are designed to cover your residential home, including flat units, townhouses, terrace houses and free-standing homes.
While building insurance policies can vary, they'll usually cover these parts of your home.
Insurers have a set of defined events where, if they occur, you should be covered. These include:
Storms
Lightning
Fire
Cyclones
Theft and burglary
Vandalism
Water damage/ escape of liquid
Impact damage
Well, we did some research and found that the cheapest policy was $101 a month.
Premium prices will change based on your individual circumstances, so while our research - from 17 home insurers, says the cheapest policy is $101, that was based on our criteria.
Make sure to get a quote (or multiple), so that you get the best value for your money.
| Brand | $500,000 Building - Monthly price | $500,000 Building - Annual price | $1,000,000 Building - Monthly price | $1,000,000 Building - Annual price | Get quote |
|---|---|---|---|---|---|
 | $145.90 | $1,750.78 | $273.86 | $3,286.37 | |
 | $145.90 | $1,750.78 | $273.86 | $3,286.37 | |
 | $122.41 | $1,311.43 | $203.04 | $2,175.42 | More info |
 | $123.84 | $1,230.13 | $201.92 | $2,010.95 | |
 | $116.69 | $1,250.23 | $193.58 | $2,074.03 | |
 | $101.10 | $1,125.62 | $174.18 | $1,981.97 | |
 | $120.97 | $1,451.69 | $159.77 | $1,917.18 | |
 | $135.54 | $1,355.42 | $219.07 | $2,190.70 | |
 | $110.16 | $1,321.88 | $110.16 | $1,321.88 | |
 | $138.02 | $1,401.40 | $200.68 | $2,054.50 | |
 | $139.22 | $1,434.56 | $202.18 | $2,057.17 | |
 | $143.02 | $1,415.42 | $202.46 | $2,075.05 | |
 | $113.11 | $1,300.21 | $136.30 | $1,578.56 | |
 | $112.00 | $1,198.00 | $187.00 | $1,999.00 | |
 | $155.84 | $1,582.35 | $226.58 | $2,319.80 | |
 | $103.73 | $1,111.32 | $172.07 | $1,843.59 | More info |
 | $113.06 | $1,221.05 | $154.02 | $1,663.41 |
It's easy to get overwhelmed by a insurers product disclosure statement (PDS). We've explained a few insurance terms so you can understand your building insurance policy a bit better.
| Term | What it really means |
|---|---|
| Defined events | These are the events that your insurer will cover you for, if they occur. They'll be specified in your PDS. Common insured events that most policies cover include storms, fires and thefts. |
| Accidental damage | Accidental damage is when something unexpected happens to your house or belongings that causes financial loss. This is usually offered as an optional add-on to your home insurance policy. |
| Sum insured amount | This is usually the value of your property, and the maximum payout you'll get from the insurer. You'll declare this amount to your insurer, and that's how much money you'll get back if you lose your property to an insured event (minus any excesses). |
| Safety net | Some home insurers offer a buffer (safety net) if your sum insured amount isn't enough to cover the damages or losses to your home. |
| Total replacement | Some home insurers offer to cover you for the total amount if you lose your home. It's a benefit only offered by a few insurers and can help you avoid underinsurance. |
Having the right level of protection in place can save you thousands of dollars in the long run. However, some estimates suggest that as many as 80% of Aussie's are under-insured. Whilst it may seem appealing to cut costs at first, the risk of not having enough cover in place is not worth it.
The building insurance policy you take out should cover the total replacement cost of your property, including other expenses which may arise such as temporary accommodation. If you're under-insured, you'll have to pay the gap between what your policy covers and the replacement cost for your building, which in many cases could be a substantial amount of money.
The building insurance policy you take out should cover the total replacement cost of your property, including other expenses which may arise such as temporary accommodation. If you're under-insured, you'll have to pay the gap between what your policy covers and the replacement cost for your building, which in many cases could be a substantial amount of money.
Buying your policy online can save you heaps. Here are some promotions available at the moment.
15% online discount on home insurance Earn up to 30,000 Qantas Points with Qantas Home Insurance 10% off on your premium for the first year + $10 credit Get 10% off your first years’ premium with QBE Building only Insurance
Deal
Save 15% on your first year's premium when you purchase cover online. T&Cs apply.
Deal
Earn up to 30K Qantas Points for joining by 30 September. Plus save 30% on your 1st year’s premium for purchasing a combined home and contents policy online. T&Cs apply.
Deal
Sign up online and get 6% off your policy for the first year plus $10 ongoing monthly credit. T&Cs apply.
Deal
Discount is for new customers who sign up online. Terms and conditions apply.
Compare building insurance policies
You pay nothing. Finder is free to use. And you pay the same as going direct. No markups, no hidden fees.
You save time. We spend 100s of hours researching home insurance so you can sort the gold from the junk faster.
You can trust us. We say it like it is. We aren't owned by an insurer and our opinions are our own.
Picture: GettyImages
An easy explanation of home insurance for first home buyers.
You can get swimming pool insurance included with most home and contents insurance policies. Find out who provides cover and what insurance you need.
Find out how home insurance can cover water damage and how to avoid some of the pitfalls.
Camera insurance is a must-have if you carry a lot of expensive gear. Find out how to get cover through either contents insurance or speciality camera insurance.
Landlord insurance offers much more than just home insurance because it also protects your property as a business.
Discover what impacts the cost of home insurance and how to get the right protection with this handy guide.
Home insurance protects you, your home, and your family from a range of unexpected events. Finding the right home and contents insurance in NSW is no easy task. This guide will teach you what to look for in a policy.
Motor burnout covers those big appliances in your home in the event that they let you down. This article will show you what it is, why it's important and how much it can cost you.
Protect your home against storm, flood and rainwater damage with the help of this comprehensive guide.
Home warranty insurance, also known as builders warranty insurance and home indemnity insurance, is designed to offer protection for homeowners against faulty building work.
