Insurance company AXA says that millions of Britons are under insuring their personal belongings, following a survey by the company revealed a massive £255billion shortfall.
The average, customer estimated, home contents value is £29,000, while AXA say that figure is £9,000 short of the real average value of contents. The company has warned that in worst case scenarios undervaluation can lead to insurance policies being invalid, but at best the under valuation could lead to policy holders having to find the extra costs of replacing goods from their own pockets.
My experience these days is that many contents policies do not ask for a specific valuation and only ask how many bedrooms the house has and gives maximum cover for that information.
1 comment so far
1 MJ Ray // Dec 4, 2008 at 2:27 pm
The Co-operative Insurance suggests a typical minimum contents value for the property type and size, but I used http://www.hiscox.co.uk/calculator/ to work out a better value for my unusual contents.