Time to compare home insurance – but why bother?

Time to compare home insurance – but why bother?

When your home insurance policy is due for renewal, the temptation is to just sign on the dotted line and carry on as before. But before you ‘stick with what you know’, it is worth taking a few minutes to compare home insurance quotes online and make sure that you’re getting the best deal. Here are some of the most common arguments that people give for not comparing home insurance, and some convincing reasons that may make you change your mind.

But I’ve been with my provider for years…

This is one of the commonest arguments for not changing home insurance providers. It’s much easier to just carry on as normal and stay with your current provider. After all, up until now you’ve been getting a great service from them and (so you believe), a great deal. However, research by the homelessness charity Shelter in 2010 showed that the average home insurance customer has undervalued the value of their home contents by £4,650. If you’ve had the same policy for several years and have made some high-ticket purchases during that time, those newer items may not be covered on your current home insurance policy. They may have even possibly taken the real value of your home contents above the amount that you are insured for.

So the annual home insurance renewal ritual is an ideal opportunity to update your inventory and make sure that the cover you have reflects the true value of your precious home contents.

There’s too much choice… it’s so confusing…

Online comparison sites have simplified the previously long and drawn-out process of comparing home insurance quotes. Rather than having to ring around a plethora of suppliers, an online comparison allows you to type in your details once and then instantly access a list of potential home insurance suppliers who might fit the bill.

Remember when you compare home insurance prices that it’s not just about the cost. Check the details of your current home insurance policy. Does it cover you for accidental damage, insure individual high-ticket items or guarantee you against the loss of personal items in your garage? While the cheapest offer might initially seem to be the most attractive, it’s the quality of cover that matters as much as the price. Once again, comparison sites can help you to weed out suppliers who, while they may be cheap, don’t give you the cover you really need. Once you’ve narrowed your search down to a few select suppliers within your price range and offering the insurance you need, you can make an informed decision.

I’m in rented accommodation. I don’t need home insurance…

You may not need house insurance, but you will certainly need home content insurance. Your landlord will have their own house insurance to cover the value of the property, but that will not insure your personal possessions. Even if you’re living in a one-bedroom flat, home insurance is a vital financial consideration and one that you can’t afford to do without. For the sake of a few pounds a month in policy payments, you could save yourself thousands if the worst happens and you have to replace valuable personal items after a fire or burglary.

Surely my current provider rewards customer loyalty?

This isn’t necessarily the case. Many people who compare home insurance online find that even if they’ve been with their current provider for years, they’re still not getting the same money-saving deals that new customers are getting. Does your home insurance provider give you two months free at the start of each renewal period? Many new customers benefit from introductory special deals that are never offered to existing customers.

So if you’re facing the annual challenge of renewing your policy, it pays to go online and compare home insurance. You could find that you get a better deal, a better policy and save money and time too.