Home Contents Insurance help

darcyleverfc

Can someone please explain this to me in English ...... It's regarding home contents I don't get it

"where the sum insured represents less than 60% of the value at risk we will obtain a full statement to
establish how this has arisen. We may choose to reject the claim and regard your policy as invalid"

I have home contents insurance all together with my insurance at
£13,500
High risk Items at
£1,500

Overall contents in the house is around £6k with £1,300 High risk included.

I just need to know what that means in the policy book as I dont get it

Thanks

dacouch

It's with an esure group company...avoid it

Sally_A

It's a get out clause if you have knowingly/intentionally or even mistakenly underinsured your contents.

Go careful, because even us clutter hoarders, where items have no value until they are needed, are taken into account in the event of a large claim.

cyberwench

It's a clause to avoid you under-insuring your contents (and therefore paying a lower premium than you should be). If you made a claim, and insurers then discovered that the actual value of your contents was at least 60% more than the sum you have insured for, they are saying they may look at refusing the claim and/or voiding your policy.

I've not seen a clause like this before, normally insurers will just apply what's called an 'average' clause, so if they find you're X% underinsured, they will reduce their payout on any claims by X%. Your insurers may apply the average clause as well for any claims where you are underinsured by up to 59%, and then apply the other clause if you are found to be underinsured by 60% or more - you would need to check the wording to see if this is the case.

Either way, if your contents are worth £6,000 and you are insured for £13,500 then this wouldn't apply to you.

I hope this makes sense!

hugoshavez

darcyleverfc wrote: »

Overall contents in the house is around £6k with £1,300 High risk included.

Are you sure you've counted everything?

Carpets
Furniture
Ornaments
Clothes
Garden tools/furniture
Food
Garage/attic junk
etc etc

phill99

And remember the value of the contents is not their current value but their REPLACEMENT cost.