Contents insurance claim-value at risk form

cb101

Hi

I wonder if anyone can help

I'm currently claiming on my buildings and contents insurance following a burst pipe. I've been given a 'contents value at risk form' to complete for houshold goods and high value goods.
I'm trying to go through the items (in my head- most have gone in to storage) but find it's difficult to value all the clothes, books etc. I'm now wondering if I have over-estimated the value I have insured- would that be a problem?
Also under high risk items it mentions 'credit, debit, charge or cash cards' Does that mean I have to add up the limits on all cards I have? I hadn't thought of that at the time I took out the insurance and only put down £15k which I thought was an over estimate and to cover TVs, computer, cameras etc etc
Any thoughts- I'm only claiming about £500 for damaged goods but quite a bit for building damage.
Thanks
C

huckster

The idea of the value at risk form is to see whether the sum insured was adequate to cover the replacement of contents in the event of a total loss. If it is a new for old policy, then everything (except clothing and linen) should be entered onto the form as to the cost of replacing as new. With clothing and linen, the Insurers normally deduct an amount to take into account age and condition.

No you don't add up the card limits. I don't know why this is on the form. Perhaps this applies if they were stolen and could be fraudulently used?

cb101

Thanks huckster, so would it matter if I was effectively 'over' insured?
When I was originally totting up the value of things before taking insurance I think I may have have not thought of some things as high risk i.e. cds, dvds etc So have £30k household and £15k high risk. I don't think I'd taken credit & debit cards into consideration at all.

huckster

No being over insured does not matter.

Be careful in valuing the contents. Make sure it is realistic at being able to replace the contents. For CD's for example they will probably be assessed as costing £13 each on average to be replaced, even if they are on offer with Amazon at £3.

dogbot

No you can over insure if you like. Unfortunatly you won't get more than you actualy own!

Different insurers do use different definition of high risk items/valuables and this can cause some problems like this. I haven't actualy seen credit cards being included before in this as usualy there is a seperate limit for this cover (the household insurers just claim it back from the credit card company anyway). CDs and DVD's are similarly things I wouldn't include as high risk items but there we go. Who is the insurer? What is the policy?

cb101

it's through e-sure
I'm just starting to think I should have had a higher high risk section having more recently replaced my TV and camera and bought lots of DVD collections, new tent.etc and maybe I had overestimated the value of my furniture etc. Not that any of this has been affected or is part of my claim. I just don't want to give them any opportunity to not pay for what has been damaged.

dogbot

Indeed, it does sound like a loss adjuster has concerns about under insurance for some reason. Value the items on their high risk section with care therefore to get realistic and not too high valuations.

Very interesting to see that e-sure do include CD's and DVD's in their high risk items definition. That is not something I am familiar with and it would put me off the policy then and there since those items really start to add up... at least they allow you to put a sum insured for these items.

cb101

No, I don't think the loss adjuster has concerns I'm under insured. I assume it is just a formality to fill in the form given the extent of the claim and works required. None of the items i've had to claim for would be considered high risk.
I thought I once read somewhere that £45k was the average amount of insurance for contents for 2/3 bed house- particularly considering I don't have numerous PSIIs, computers or plasma screen tvs etc

dacouch

How much are you covered for with Esure?

cb101

£30k household goods and £15k high risk items

bouncydog1

It does sound as if the loss adjuster is querying the total value of contents. If your value comes out at say £60k and you have insured for £45k, then there is £15k under insurance - equating to 25% of the sum that you should have paid to cover.

The loss adjuster could take this into account and reduce the settlement of you claim by 25%.