If you have taken out a home insurance policy the last thing you want to see happen is for the insurance company to void the policy. In this situation you would not only be left without a policy to protect you in the wake of theft or damage you would also not be able to get back any of the money you had paid out in premiums. There are a variety of reasons why an insurance company could decide to void a policy, from extreme negligence to actual attempted fraud, but no company can do this without a good reason and most of these reasons can be easily avoided.
One of the most common reasons why a home insurance or contents insurance policy will be cancelled by a company is down to attempted fraud on the part of the policy holder. When it comes to home insurance this can range from attempting to claim for lost possessions that were never actually owned, to attempting to claim for damage deliberately caused by the homeowner themselves. In the case of lost items, if you cannot provide evidence such as receipts for expensive items that you are claiming for, the insurance company may decide to void your policy based on suspicions – even if your claim is legitimate. Thus it is advisable to hang onto receipts for valuables.
The other major cause of home insurance policies being cancelled by insurance companies is negligence on the part of the policy holder. This can range from failing to lock doors when you are not in the home, to simply claiming too many times on the same policy. In the latter case even if the insurance company does not suspect you of fraud they may well still cancel your policy because you are not taking adequate precautions to prevent loss or damage occurring.
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