Fig. 2 is an extract from a newspaper article concerning buildings and contents insurance. YOUR HOME – AND WHY YOU SHOULD NOT UNDER-INSURE IT. To obtain the maximum benefit, it is important that you insure your house and its contents for the correct amount. The most common problem is that people under-insure either to save on premiums or because they have made a mistake. This may mean that if you make a claim, eg. part of your house was destroyed by fire, compensation might be several thousands of dollars less than the cost of rebuilding it. Fig. 2 Use Fig. 2 to help you to answer the following questions.