Only one-third of homeowners know what their insurance covers
THE average UK home contains nearly £30,000 worth of possessions – but only one-third of adults have a complete understanding of what their home insurance does and doesn’t cover.
Research of 2,000 people found baby boomers estimate they have the most possessions to the tune of £36,166, while Gen Z have the lowest with £21,744.
A one-bedroom flat is estimated to contain £15,713, while a four-bedroom house has £41,361 worth of goods.
But the average adult adds to their belongings, purchasing around £1,000 worth of impulse buys every year.
It comes as insurance experts at AXA revealed many “severely undervalue” the items they acquire over time. And one in 10 of the adults polled admitted that when it comes to insurance, they tend to buy the cheapest policy and hope to never need it.
The research was carried out by AXA, as part of the “Priority Report”, which is a deep dive into the nation’s spending habits.
CEO Tara Foley said: “Although the average UK home is estimated to house almost £30,000 worth of contents, we know that many people severely undervalue their belongings and run the risk of being left unprotected.
“While getting a good price for your insurance is important, it’s amazing how many possessions we can acquire over time so make sure your policy covers everything you need it to.”
Despite the older generation having more possessions, they are less likely to know exactly what their contents insurance covers than savvy Gen-Zers.
The results also found men are slightly more likely than women to have items in their home which they consider to be irreplaceable or priceless.
The most common of these items was deemed to be photos, followed by jewellery and other pieces of art.
But three in 10 adults, polled via OnePoll, have damaged or lost something, only to then discover it wasn’t actually covered by their contents insurance.
People also often don’t know how much inherited items like antiques, artwork or jewellery are worth, so it’s important they get these valued and tell their insurer, too.
Foley added: “It’s worth, every so often, taking an inventory of the things in your home and checking your home and contents insurance is up to date.”