Please don't cancel it.
We had a house fire three years ago. A minor one, in the cellar, so mostly smoke damage, although we also needed a full rewire as it was electrical - and some of the wiring got burnt out by the fire.
Our buildings insurance paid for full redecoration, new kitchen, new floorboards on ground floor etc. And the costs of us staying in a hotel for 2 months, then 9 months(!) in a rented house, as it took so long for them to get buders, electricians etc out to fix it!
Our contents insurance paid for new carpets (yes, they were classed as contents!), furniture to replace smoke damaged items, new oven, fridge, dishwasher, TV, stereos, computers... Basically most electrical items in the house, as small particles of soot can enter electrical items, then ignite when they are used creating a new fire hazard. There was also the cost of replacing every item of clothing, toys, books and furniture of our then 3 year old's, as soot can be toxic to small kids so EVERYTHING he owned was skipped! And finally, the cost of dry cleaning every item of clothing bedding and so on that we owned, to rid it of soot and the smell of smoke. This alone came to over £7K!
Oh, and we were given an advance of £1.5K to cover the cost of buying clothes, food and other necessities for when we were staying in a hotel. That also came out of the 'contents' side of things.
Whilst I am on my soapbox, I implore everyone reading to check what 'alternative accommodation' costs their insurance covers. We were lucky, our covered up to £40K, but when renewing I have seen many (most) policies only cover a couple of thousands in costs. That would have left us homeless for months! Never underestimate how long you may be out of your home if you have even a small fire or flood!