Although there’s no legal requirement to have contents insurance, if you don’t have it and are the victim of a burglary, or your property suffers water or fire damage, you might struggle to afford to replace everything you’ve lost.
Contents cover can therefore provide valuable peace of mind that you won’t end up out of pocket should anything go wrong. It’s important to get the amount of cover you need right, or you might end up under-insured. If that does happen and you need to make a big claim, your pay-out will be reduced by the percentage shortfall of cover.
However, thinking about how much everything in your property is worth can feel like a pretty daunting task.
A good starting point is to work out the value of the contents of each room. This can help make things feel more manageable. Remember to include things like clothing and bedding – the cost of these can add up and if the worst should happen you’ll need to be able to replace these and other essentials.
Don’t forget to think about things you keep in any garden outbuildings too, such as bicycles and garden tools, and check the level of cover provided for these items.
You’ll also need to consider whether you have any particularly valuable items, such as jewellery or antiques that you might need additional cover for.
Most contents policies have a ‘single article limit’ which is the maximum the insurer will pay out for any one particular item. Often this limit is around £1,500 (but does vary) so if you have an engagement ring which cost £3,000, you’ll need to notify your insurer and they may need to charge a bit extra to cover this.