Going on holiday? Do the maths

THE mid-year school holidays – often a time when families go away – are almost here.

You probably already know, or have some idea as to what your holiday will – or should – cost.

However, have you considered whether your property is adequately insured while you are away, or what it will cost if it is not?

Checking your insurance policy before you set off could save you a lot of money. If you are short on cover, the time to change that is now. Avoid the average adjustment

Perhaps you think you are covered because you have insurance in place – but is it to the right value?

If you are underinsured and need to claim, you may be disappointed by how little money your insurer will pay out.

For example, if the total replacement value of your household contents is R100 000 and you decide to insure only up to R80 000, it will mean that only 80% (being R80 000 divided by R100 000) of your claim will be settled.

So practically this means if you have a burglary over the holidays, and your loss is R50 000 (as assessed by the insurer’s assessor) then the insurer will only pay you 80% of the R50 000 (R40 000) and you will incur a loss of R10 000.

It is easy to fall into the trap of underinsuring, or to only do selective insurance, just to save on an insurance premium, but it could end up costing you more in the end.

Don’t forget as well that your contents cover for All Risks must be adequate. This will cover items like cellphones or laptops – any items you take with you when you leave the house. Safety tips

If you are leaving your home unattended, be it just for a few hours or a few days, make sure your security features as stipulated in your insurance policy are all in working order and in use.

If your security gate is not locked, your claim will not be settled, for example.

Where possible, have someone occupy your home, or at least have a trusted friend or neighbour pick up your mail for you to avoid your home looking empty.

Lock away expensive items if they are insured accordingly, make sure your windows are closed, and your doors are locked.

If your insurer requires that you have an alarm, make sure it is armed before leaving.

Whatever you can do to deter criminals is best practice, but most importantly make sure you comply with all the security requirements in accordance with your policy. Not doing so could mean your holiday ends up being much more expensive than you planned.

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