Shed and Outbuilding Insurance

Brooke Williams -

Should You Insure Your Shed or Outbuilding?

Your garden shed or outbuilding might be home to valuable items, from bicycles and garden tools to power equipment and seasonal gear. These days, sheds and outbuildings have evolved from simple storage units to versatile spaces like garden offices, studios, home gyms, and even guest rooms. With that in mind, ensuring these spaces and their contents are covered under your home insurance is crucial.

Key Takeaways

  • Home insurance often includes coverage for sheds and outbuildings, but with limits.
  • Coverage levels vary by provider, so review your policy carefully.
  • If your shed doubles as a workspace or home office, verify coverage for business use.
  • High-value items may need to be listed individually on your policy.

Does Home Insurance Cover Sheds?

In many cases, home insurance policies extend coverage to sheds and outbuildings, but the extent can differ widely. It's essential to check the details of your plan to understand what’s covered.

Buildings Insurance for Sheds

Sheds are generally covered under the buildings insurance portion of your home insurance. This protection is typically for structural damage caused by risks such as fire, theft, storms, and floods. Note that this coverage is for the shed itself and does not include the contents inside.

Contents Insurance for Sheds

Items stored in your shed can be protected by your contents insurance, which covers damage or loss due to events like fire, theft, vandalism, and flooding. Accurately estimating the value of your shed’s contents is important to ensure sufficient coverage. High-value items should be listed separately, as there are often limits on coverage for items stored in outbuildings.

What’s the Cost of Shed Insurance?

Comprehensive home insurance policies that include buildings and contents cover can start at around £130 annually. However, costs vary based on factors such as property value and coverage limits. Always read your policy to know exactly what’s included.

What Does Shed Insurance Cover?

Your insurance typically covers:

  • Structural damage due to storms, fire, and flooding.
  • Theft or vandalism of items stored inside.
  • Repair or replacement of damaged belongings within your shed.

What’s Not Covered?

Insurance often excludes:

  • Sheds located away from your primary property, like an allotment shed.
  • Poorly secured sheds—always check your policy for required security measures.
  • Outbuildings rented out or used for non-covered business purposes.
  • Vehicles stored in sheds, such as motorbikes or cars.

Accidental damage is not usually included but may be added as an optional extra. Wear and tear, such as rusted tools or weathered wood, also won't be covered.

Is Your Bike Covered in a Shed?

If your bicycle is stored in a locked, secure shed, it’s likely covered under your contents insurance. However, many policies have item limits, so ensure your bike’s value doesn’t exceed this cap, or list it as a high-value item for additional coverage. For comprehensive protection when taking your bike outside, consider personal possessions cover or standalone bike insurance.

How to Calculate the Value of Your Shed Contents

Make an inventory of everything stored in your shed and estimate the replacement cost for each item. This may include:

  • Gardening tools and equipment
  • Furniture and soft furnishings
  • Bicycles and sports gear
  • Office equipment
  • Gym equipment

Check your policy’s limit for outbuilding contents, and if needed, contact your insurer to increase it.

Are Greenhouses and Summer Houses Covered?

Yes, common structures like greenhouses and summer houses are typically included in home insurance policies. However, outbuildings with non-standard features, like flat roofs or unconventional materials, may not be covered. If using an outbuilding for business, such as a yoga studio, consider business insurance.

Insuring Your Shed Against Severe Weather

Sheds often take the brunt of harsh weather, but they’re generally covered for storm damage under buildings insurance. The coverage amount varies by policy, so ensure yours adequately protects your shed's value. Regular maintenance is key, as failure to keep your shed in good condition could lead to denied claims.

Items You Shouldn’t Store in Your Shed

Despite comprehensive coverage, it’s best not to keep highly valuable items in your shed, as it’s less secure than your home. Items to avoid storing include:

  • Electronics like computers or phones
  • Musical instruments and photographic equipment
  • Jewellery, watches, or valuable collections

Allotment Sheds: Are They Covered?

Sheds on allotments are typically not covered under home insurance as they’re not on your main property. However, personal possessions cover may extend to tools and equipment used away from home. Check with your allotment society for insurance options that may include public liability coverage.

Using Your Shed as an Office or Living Space

Whether you’re using your shed as a workspace or extra bedroom, coverage depends on your insurer and usage. Basic office activities may be covered, but using the space for business involving client visits often requires additional insurance.

Compliance Checklist for Living Spaces:

  • Ensure the conversion meets building regulations.
  • Check with local authorities for planning permission.
  • Notify your insurer to update your policy and premiums accordingly.

Security Tips for Your Shed

To keep your outbuilding secure:

  • Regularly maintain and repair structural parts.
  • Use heavy-duty padlocks and secure external hinges.
  • Install security lights and consider window blinds.
  • Bolt the roof to the frame.
  • Store highly valuable items in your home.

For more detailed advice, visit trusted resources like Which? or MoneyHelper.

Final Tip: Always review your policy to understand your specific coverage and exclusions. For comprehensive guidance on insuring your outbuildings, speak directly to your insurance provider.