"% of contents sum insured" - What does it mean exactly?

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Aaron3195
Aaron3195 Posts: 51 Forumite
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in Insurance & life assurance
I'm about to apply for contents insurance for the first time, and have chosen Nationwide Home Insurance essentials. In their policy booklet they state 30% of contents sum insured, does this mean they will only pay out £15,000 of a £50,000 cover to pay for unspecified valuables? (I think it is 50K - it says this on a comparison site but I can't find this figure in Nationwide's policy booklet). Cheaper quotes such as Admiral are offering 50%, but I don't want to go with them.

Obviously this could be a problem regarding some of the items I have. I can list my laptop as a valuable over £1000, but my PCs I don't think I can list, as I custom build them and they're made up of separately bought items. So this would have to come out of £15,000 of money wouldn't it, in addition to anything else in the home damaged or stolen. Am I understanding this correct?
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  • dauphin
    dauphin Posts: 195 Forumite
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    There is a limit of £15,000 for valuables, but computer equipment is not within the policy definition of valuables so would fall to be dealt with under the general contents limit of £50,000. Note that there is a £2000 per item limit, whether under valuables or general contents, unless the items are declared and specified in the policy schedule.

    I'd have thought that once you have assembled components into a PC, that counts as one item and you'd need to look at its overall replacement cost and specify it if that comes to over £2000.

    It sounds as though you have got a number of custom PCs - you are not running a home business are you?
  • Aaron3195
    Aaron3195 Posts: 51 Forumite
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    Thanks for clearing that up, makes a lot of sense now!

    Doubtful its total value is over £2k, it's not running a SLI setup or anything. I could try listing it as one item if Nationwide asks when I fill in the forms, but they will have to deal with a number of receipts for various parts when I claim. Unsure if this could void the claim though.

    Not a home business, one's a main/gaming PC, other is an HTPC, and another is an older PC in storage kept as a spare.
  • dauphin
    dauphin Posts: 195 Forumite
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    Unless the total value of any one PC is over £2000 it's unlikely to require specific notification (but obviously go by what the application calls for). It would follow that it won't matter whether you treat the components individually or as an assembled PC, as long as the overall sum insured is adequate. If in any doubt, why not just phone Nationwide for confirmation?
  • FutureGirl
    FutureGirl Posts: 1,252 Forumite
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    If you're sum insured (the amount for all your contents) is insured for, say £10,000.00. It means they will pay out 30% of £10,000.00 in valuables.

    The PC isn't a valuable so it wouldn't come within the 30%.

    There doesn't seem to be a single article limit for a computer or general contents within that policy, unless you are taking it away from the home then it becomes a limit of £2,000.00 per item.
  • Blibble
    Blibble Posts: 503 Forumite
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    As someone who used to work as one of Nationwide's suppliers for electricals, I can confirm that a custom built PC would be treated as one item.

    There is a 2k limit on laptop / computer equipment; anything over this to rebuild like-for-like would need specifying.
  • FutureGirl
    FutureGirl Posts: 1,252 Forumite
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    This policy doesn't have a single article limit of £2,000 for computers - it doesn't say that within the policy booklet.
  • Blibble
    Blibble Posts: 503 Forumite
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    Didn't realise it was an essentials policy; I presume it would be a £750 limit in that case?

    Worth doubling checking the policy booklet to be sure.
  • Aaron3195
    Aaron3195 Posts: 51 Forumite
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    Either way my PC isn't valued over £2,000, plus the i5-2500k with motherboard and ram combo was bought second hand from a friend of mine so I wouldn't be able to claim on those specific parts. Can only claim graphics card, case, hard drives etc.
  • rs65
    rs65 Posts: 5,682 Forumite
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    Aaron3195 wrote: »
    £2,000, plus the i5-2500k with motherboard and ram combo was bought second hand from a friend of mine so I wouldn't be able to claim on those specific parts.
    Why not? .
  • Aaron3195
    Aaron3195 Posts: 51 Forumite
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    rs65 wrote: »
    Why not? .

    Was paid in cash and exchanged by hand. I don't have any proof I own it, e.g. receipts.
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