Competitive Review of Buildings and Contents Insurance

It is usually beneficial to have both the home buildings and contents covered under the same policy but this is not always the case.

An enquiry revealed someone paying a combined premium of £3,000 for what was an extremely comprehensive policy but whilst the contents and valuables cover was extensive and the premium very reasonable, the premium and sum insured for the buildings element of the policy could both be improved  in this instance, by separating the two main sections of cover.

When the existing Insurer’s premium was broken down it transpired that the buildings rate was particularly high, as for a sum insured of £530,000 they were charging a premium of just under £1,200.

After reviewing the market our recommendation was to retain the contents and valuables cover with the existing Insurer but to transfer cover to an alternative Insurer for the buildings element, the premium of £470 providing exactly the same cover but with a sum insured up to £1m and with a standard policy excess of £100 against the £500 required by the current Insurer.