Insurance when moving house?

£Ronnie

Hi all,
Please can someone help me out here...insurance just isnt my thing!:o

I am due to move house next week, and have had quotes to provide insurance whilst my property is in transit. (I have checked and my house insurance does not cover this as I am moving to Ireland)

I have just spoken again to the agent providing the cheapest quote, and she made it quite clear that I will NOT be covered new for old. She is charging 1% of the value at which I deem my property. How will this work if i need to make a claim? I have visions of having to go down to a house clearance place for replacement beds, sofa, etc!

the other companies have quoted 2-3% of stated value.

Any one stop websites for this kind of insurance?
Thanks in advance
Ronnie

Astaroth

Most removal companies provide insurance on the goods in transit anyway... or are you doing it yourself?

£Ronnie

We have hired a removal company, but there is something relatively new about being affiliated to someone in order to be allowed to sell insurance....

This 1% quote is from a sister insurance broker company of the removal company brokers..does that make any sense?

(Dives into mountain of paperwork to find proper wording so i can make myself clearer)

£Ronnie

Ok....found it.

I have info from one removal company obviously trying to sell their products..a summary of their sales talk...


Since 14th Jan 2005 it is illegal for a removal company to offer or sell insurance UNLESS they are directly authorised by the FSA.
Many offer Standard or extended liability cover.
Apparently this will not cover me if damage is caused and the company are not negligent,ie hit by another vehicle from behind at traffic lights causing damage to my property, or if the ship sank:eek:


So maybe the company who are actually moving me arent FSA authorised, and this insurance broker has just got me the best deal, but how does NOT new for old work?

At this point wondering if you get what you pay for with insurance and for peace of mind is it worth getting the policy that costs 2-3 times as much??

Astaroth

They will depreciate the value of the item based on how old it is and what the "current" price is for it.

I have never worked for an insurer that doesnt do new for old but generally there is a step down chart for each type of item so (as a percentage of the current price) you would get something like under 1 year old 80%, under 2 years old 70% under 3 years old 60% under 4 years old 50%, under 5 years old 40% over 5 years old 25%

Some types of items depreciate quicker than other, some have a higher residual value than others... a chest of draws will probably drop a fair bit simply as they are second hand but then not go down much at all year on year as there really isnt any where near as much difference between a 2 year old chest of draws to a 5 year old but there is a big difference between a 2 year old plasma screen and a 5 year old plasma screen.

The best thing is to actually ask the broker/ insurer how the administer the policy as all insurers do vary.