Don't let there be a gap between settlement and your new home actually being covered — this is one of the few moving tasks with real financial risk if missed.
How to do it
- Arrange cover to start on settlement day, not "sometime after we move in" — a delay of even a day between settlement and cover starting is a day of real, uninsured exposure on what's likely your largest asset.
- Compare providers rather than defaulting to the seller's current insurer — pricing varies significantly by provider and by the specific risk profile of the property, so the previous owner's choice isn't necessarily the best one for you.
- Confirm with your conveyancer or lawyer whether they need proof of cover before settlement, and confirm exactly when risk and cover apply — requirements vary by conveyancer and by the specific sale, so ask directly rather than assuming.
- Check what's covered during the settlement period itself, especially if you're moving belongings in before settlement is fully complete — some policies have specific conditions around occupancy before the sale is legally finalised.
- Set your sum insured from rebuild cost, not the purchase price — these can be very different figures, and using the wrong one under-insures the property from day one.
Common mistakes
- Leaving insurance until after settlement "because there's no rush."
- Not confirming the policy actually started before handing over the keys.
- Under-insuring based on the purchase price rather than actual rebuild cost.
Related tasks
Pairs with arranging final meter readings with your lawyer or conveyancer as part of the same settlement process.
Useful links
- How much to rebuild your home? (Sorted) — independent guidance on setting a sum insured that actually covers a full rebuild, not just the purchase price.
Frequently asked questions
- What happens if I don't have insurance in place by settlement day?
- Most mortgage lenders require proof of insurance before they'll release funds on settlement day, so a gap isn't just a personal risk — it can actually delay or block the settlement itself.
- Can I insure a home I haven't settled on yet?
- Yes — insurers can generally set a policy to start from your settlement date, so it's worth arranging cover ahead of time rather than waiting until you've got the keys.