Summary of this article
Diwali season sees a yearly rise in fire-related home insurance claims, especially in metros.
Home insurance offers coverage for structural damage, personal belongings, and temporary housing after fire incidents.
Most modern plans also protect against short-circuits, electrical faults, theft, and even water leakage.
Add-ons such as rent for alternative accommodation and personal accident cover make the protection comprehensive and affordable.
Every Diwali, a similar story repeats across some Indian households - joy, light, and, unfortunately, a trail of fire-related mishaps. In many homes, festive decorations, diyas, and fireworks mix with crowded electrical lines and unattended flames, creating a perfect storm for accidental fires.
Ashwini Dubey, Business Head, Home Insurance at Policybazaar.com, says that every year, fire-related insurance claims see a noticeable spike during the festive season, particularly in metropolitan cities. “Home insurance is often overlooked, yet it’s one of the most affordable and impactful protections one can have.”
“For just a few hundred rupees a year, families can secure their homes and belongings worth lakhs,” he notes.
While the common perception is that home insurance is only for homeowners with large properties, experts stress that it’s equally relevant for tenants. A single spark from a firecracker or a short-circuit in a decorative light string can cause damage running into lakhs which would be far more than what a basic home policy would cost for the year.
Why Diwali is particularly risky
The festival’s celebratory spirit often pushes safety to the sidelines where firecrackers may land on rooftops, candles placed too close to curtain, or some electric wiring from decoration or otherwise could lead to fires on the day of Diwali.
Even minor negligence, like leaving a diya unattended or children playing near firecrackers, can trigger a disaster.
The National Crime Records Bureau (NCRB) data has, in past years, shown an uptick in accidental fires during the festival months, much of it linked to such preventable causes.
How insurance cushions the impact
Home insurance policies today cover far more than basic structural fire damage. They also extend to household contents like furniture, electronics, and valuables, which are often purchased or replaced during the festival season.
In case a fire accident leaves the place temporarily unlivable, some plans pay for alternative housing covering rent until repairs are done.
Liability protection is another often overlooked aspect of home insurance. Say a guest or domestic worker gets injured on your property during an unfortunate Diwali incident, some insurance policies also provide coverage for medical or legal expenses.
Electrical hazards have also become increasingly common, thanks to elaborate lighting setups. Dubey points out that modern plans include coverage for short circuits and electrical faults, even when no firecracker is involved.
“An electrical installation cover protects your appliances and fittings damaged by power surges or short circuits,” he says, adding that add-ons such as personal accident cover and rent for alternative accommodation can make a big difference during emergencies.
As Diwali lights up homes across India, experts say it’s worth sparing a thought for what could go wrong, and preparing for it. A small investment today can prevent massive losses tomorrow. In Dubey’s words, “Making protection through home insurance is a wise investment. It offers complete peace of mind in uncertain situations.”
Because while diyas should light up your home this Diwali, the last thing you want is for them to burn it down.
