Calculating how much your possessions are worth is vital to getting the right amount of contents insurance. but it’s still a bit of a headache. here’s how he does it without too much fuss.
what is content coverage?
There are two main types of home insurance, buildings and contents. many homeowners often buy both, combined in one home insurance policy
Contents insurance covers the loss of personal property in your home, whether as a result of theft or damage from fire or flood. Depending on your policy, items in your garage, garden, and outbuildings like a shed may also be covered.
Your content includes pretty much everything you’d take with you when you move. you can choose to have them protected outside the home and also from accidental damage, although this has an additional cost.
- Contents insurance is the coverage you should choose, whether you’re renting or owning a home. If you own your home, you may also need buildings insurance.
- Buildings insurance covers the structure of your home and various fixtures you wouldn’t remove, such as radiators, patio decks, and toilets. You only need this if you own the property you live in.
- rare books
- works of art
- furniture including sofas, armchairs, footstools, coffee tables and bookcases
- soft furnishings such as cushions, rugs, rugs, curtains and blinds
- tv, tv furniture, game consoles, stereos, speakers, cables and chargers
- books, dvds, videogames, cds
- mirrors, pictures and ornaments
- lamps and other lights
- furniture, including the dining table and chairs, and perhaps a side table or display case.
- bookcases and shelves
- rugs, curtains and blinds
- pictures, decorations, photos and frames
- hob, oven as well as your fridge-freezer, washing machine and dishwasher.
- food processors, electric mixers, mixers and sandwich toasters
- pans, crockery, cutlery and crockery
- table top appliances including microwave, toaster and kettle
- jewelry and heirlooms
- art hanging on the walls
- bed linen, curtains, blinds and carpeting
- beds, cabinets, dressers and nightstands
- bathroom cabinets
- toiletries (if you use expensive things), perfumes and aftershave lotion
- Christmas trees and decorations
- garden furniture
- garden pots, ornaments, even koi in the pond
- mowers, hedge trimmers and tools
How much content insurance do I need?
Getting the right amount of contents insurance is vital. This means you need to estimate the total cost of all your possessions: If your home was flooded or you lost everything in a fire, you may be facing a hefty bill without contents insurance.
Underestimate the costs of belongings at your own peril. If you underestimate your contents, your insurer may not pay the entire claim, as it will not have paid enough for your coverage.
Overestimate and you could end up paying too much for your contents insurance.
many policies have an upper limit to cover individual items. this is known as the single item limit.
then if something is worth more than £1,000, for example, it may need to be covered separately at extra cost.
what should I include in my content cover?
To make sure your contents are fully covered, it’s important to include anything that isn’t pinned to your home.
This may seem like a gargantuan job, but help is at hand.
The best way to establish the value of your content is to use a content calculator. then, make a list of all your contents going from room to room.
It also helps to take photos of the rooms, as well as any valuables.
Store these images securely in the cloud, not just on your home computer, as that too is at risk of being stolen or damaged.
This approach could help if the worst happens and you need to prove what you have.
room-by-room breakdown of its content
To break it down, let’s take a look at what might be valuable in your home, room by room:
Remember to check the drawers and the dresser, if you have one. you might miss out on something valuable.
if you have a beverage cabinet, add up the cost of the bottles you have there and make a note of expensive glassware and china.
You can also add up the value of food in your freezer; maybe you keep and scan receipts for a typical month’s grocery shopping.
must also cover the value of any frozen food.
Don’t forget the children’s and guest rooms, including toys, gym equipment and, of course, the beds.
lofts and storage rooms or areas
It’s easy to ignore the loft, since it’s not a place where most of us hang out. but it may contain some valuable elements, like:
You probably have a vacuum under the stairs or in a utility room along with a sewing kit, ironing board and iron. take note of what you have in these places.
If you’re unsure of the cost of an item in your home, look online at a typical retailer to get a ballpark figure.
Contents insurance also covers the gardens, so don’t forget to include items here and in the outbuildings.
these may include:
Landscape coverage levels vary significantly, so check what your contents insurance covers.
For example, some won’t cover expensive decorations if they’re outside the front door.
Similarly, others may insist that you secure your shed or outbuildings with a lock or other security measures. especially if your garden can be accessed from the road, alley or short cut.
You may need to chain the bikes to a permanent structure for the same reason.
Do I need to upgrade my contents insurance if I buy something new?
You don’t have to worry about notifying your insurer if you buy new shoes or upgrade your washing machine. however, if you buy something particularly expensive and it makes a significant difference to the value of your home’s contents, it’s worth mentioning. this is especially important if you exceed the limit for a single item and need separate insurance.
If you have a number of high-value items, you may want to consider specialized high-value insurance.