Under insuring on your house insurance is a risky proposition says Santander

Published: 5/7/2012

According to a recent survey conducted by Santander over 40% of homeowners who took out a home insurance policy did not read their insurance agreement before taking out a policy.

Homeowners that do not read the full terms and conditions of the contract run the risk of being under insured, as they are not fully aware of what their insurance cover actually covers.

Research has shown that some policyholders who thought that they were covered for a particular level of coverage like accidental damage, were in fact not covered at all, and face the expensive task of replacing the items at their own expense. This of course could have been avoided had they read the level of cover included on their insurance policy.

All homeowners want the best level of cover at the cheapest price for buildings insurance and contents insurance, but they must check to see that the cover meets their insurance needs before taking out a policy.

Not all policies are the same and that is why it is so important to read the terms and conditions very carefully making sure that it does in fact meet the right level of cover to protect their home and their possessions.

See our home insurance comparison table for more information or our guides and tips pages.

Contents Insurance Meets Rising Cost Of Damage

As costs rise so the amount needed to replace household items increases also. The need for home insurance is therefore greater than ever say Direct Line. Having surveyed a selection of UK adults the insurer found that the typical cost of replacing or repairing damaged household items was around GBP200. The most common incidents were red wine spills, broken vases and damaged furniture. Each of these is covered with Direct Line home insurance and the peace of mind that cover brings, as well as the money it can save, is of real benefit to customers. At the moment Direct Line have a special offer on their contents insurance, with free accidental damage cover provided to all new customers. In addition, when the time for renewal comes these same customers will also be eligible for a 10 percent discount as long as they have not made a claim.

Contents Insurance And Security Important for Tenants Says Direct Line

Tenants are being asked by Direct Line home insurance to make sure they have contents insurance in place and also to speak to landlords regarding home security. It makes sense for landlords to protect their property with security measures said a Direct Line spokesman, especially since it can help reduce insurance premiums. It is also prudent for tenants to have contents insurance cover to protect their own belongings. Many tenants are surprised when they find out how little Direct Line home insurance costs and feel much happier knowing their goods are covered. With the added security provided by the landlords actions too that figure can go even lower.

Almost A Quarter Of Families Have Toys Stolen Says Home Insurer

Over 22 percent of families with children under five have had toys taken from outside their homes according to a Halifax home insurance survey. The most common item to be taken was a childs bicycle, making up almost 1 in 5 of all home insurance claims from those surveyed. Prams and buggies were also a popular target for thieves, no doubt driven by the costs of such items being quite high. The advice from the Halifax insurance people is to put items away safely when not in use, using a garden shed or bringing them into the house. A Halifax spokesman understood the potential difficulties of being able to put everything away at some times, especially during the Summer when children are in and out of the house all day, but it is worth doing to avoid the psychological stresses it can cause, even if they have contents insurance in place to cover the financial cost.

Under insuring on your house insurance is a risky proposition says Santander

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Contents Insurance Meets Rising Cost Of Damage

Contents Insurance And Security Important for Tenants Says Direct Line

Almost A Quarter Of Families Have Toys Stolen Says Home Insurer