| |
 |
Contents insurance is just that, the insurance on the contents of your home.
This could include; Carpets, curtains, white goods, clothes and paintings. The insurance company will rely on you, the owner of the contents, to tell them the level of cover you require. |
It is hard to calculate an exact amount as some goods will be new and others far older. Even though you may have an old for new policy, you should deduct a small amount for clothing, as clothes will depreciate with age. Walk from room to room and conduct an inventory of all the items you would expect to replace. You would then need to write next to the item, the cost of replacement at the current price, that is the amount you should tell your insurers.
It is important that you do not under or over insure your worldly goods. You must give an accurate picture of what will need replacing if your home is destroyed and not just if you suffer a burglary.
If your home office is destroyed in a fire and you haven't told the insurers that the office equipment you had was worth thousands, they will not have added that to your policy and so the premiums will have been too low and the insurers will not pay out. Unless you specifically include items, such as the expensive new fitted bedroom furniture, the rule of thumb is that contents insurance relates to the total value of everything that is located within your house that you could take with you if you decided to move.
If you have expensive fitted furniture, you should mention it to your insurers, they may add an endorsement to your policy to cover the cost of replacement in the event of a flood, fire or damage. |
