Home contents should be revalued regularly

12th May, 2011

The cost of home insurance premiums is widely expected to rise further, even though premiums have already risen by approximately 6% on average across the UK in the past 12 months.

Some areas have seen their premiums rise by more than 40%, such as those living in Surrey, Edinburgh and Glasgow. The worst affected area was within the Greater London postcodes which included five of the most expensive premium rises.

The reason for the rise has been attributed to a number of factors including fraudulent claims rising, the cost of damage due to extreme weather conditions of late and an increase in crime.

Customers with household contents insurance are also being warned that they may need to up their cover due to the increase cost of gold. Around 90% of all burglaries include stolen jewellery and the value of gold items will be far higher now than any time in the recent past.

Home insurance providers are highlighting the fact that most people do not re calculate their home contents regularly enough to take into account the increase in value of certain items. They estimate that home contents that include gold and other valuable should be re estimated at least every two years.

 

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