Types of insurance

Insurance is a way of protecting yourself from possible losses, for example, in the event of damage to your property or your health.

A premium is the amount of money you pay to an insurance company for an insurance policy that will cover you for these costs. Insurance companies assess the risk on a particular policy and then calculate the premium to be charged. You usually pay a premium monthly or annually.

The Competition and Consumer Protection Commission (CCPC) has information that explains how different types of insurance work and gives advice on how to make an insurance claim.

Insurance policies are generally renewed once a year. Coming up to renewal date, you should shop around to see if you are getting the best value for money.

Different policies have different terms and conditions, so make sure you know what the terms and conditions of your policy are. It is important to understand exactly what your insurance policy covers when you buy it.

You are not required by law to insure your home but, if you have a mortgage, most lenders will insist that your home is insured.

Home insurance can cover the contents as well as the structure of your home. However, you can get insurance for the contents of your home separately from insurance for the building, for example, if you are renting and do not own your home.

The CCPC has detailed information on home insurance.

Travel insurance can cover you if you become ill or have an accident while you are on holidays or travelling.

If you are travelling within the EEA or Switzerland, you can get a European Health Insurance Card that allows you to access public health care.

Travel insurance can cover additional services such as private healthcare.

You can find out more about travel insurance and other things to consider when travelling abroad.

If you take out a mortgage, you will usually be required to take out mortgage protection insurance.

You should also think about how to continue repayments if your income falls due to illness, unemployment or other reasons.

You can find out more about insurance protection on mortgages.

You can get insurance to cover the cost of private healthcare. This can cover the cost of treatment in hospital and outpatient expenses.

Find out more about health insurance.

It is illegal to drive on Irish roads without motor insurance that will compensate someone for damages in an accident you cause.

You can also get motor insurance that covers your vehicle in case of fire or theft or an accident.

Find out more about motor insurance.

A life insurance policy can provide money for your dependants if you die.

It can be for a specific period of time, called term life insurance, or it can be a whole of life policy.

The CCPC has detailed information about life insurance.

If you have problems with an insurer, you should first take this up with the customer service department of the insurer (or your broker/agent if you are using one). The Central Bank of Ireland enforces the Consumer Protection Code for financial services providers (including insurers and brokers). The code sets out how they deal with their customers.

The Central Bank of Ireland has a consumer guide to the Code (pdf).

If you cannot resolve your problem or if you are not satisfied with how your complaint is being handled, you can take your complaint to the Financial Services and Pensions Ombudsman. The Ombudsman is an independent, statutory body that can investigate your complaint.

Read more about making a complaint about financial services.