There are three sections to a house and contents policy:
1. Building Insurance
Most policies cover the main dwelling plus any other domestic use garage, outbuildings, walls, gates, fences, driveways, verandas, patios, in-ground swimming pools and for tenanted properties, any landlords fixtures and fittings such as stoves, built in air conditioning, light fittings, kitchens, etc.. Ensure that your sum insured covers the cost of the current rebuilding value, plus costs associated with removal and dumping of the damaged property and any other professional costs associated with rebuilding (such as architects, soil tests, application fees etc..)
2. Contents Insurance
Covering the cost of replacing furniture, carpets, clothes and personal possessions. Items such as artwork, antiques, collections and jewellery can have cover limited to a certain value unless they are specified individually on the policy.
Cover for items being taken away from the insured property (within Australia) is not provided by all policies automatically, these items can be insured by specifying them and paying an additional premium.
3. Personal Liability Insurance
Most contents insurance policies automatically include personal liability insurance. This covers you should you be responsible for another person being injured or if they have any of their property damaged while on your property. It does NOT cover other people who work in or on your home, such as cleaners, gardeners, builders or plumbers. These people should have their own business liability insurance policy to protect them for the damage they may do to you or your property.