Almost a quarter of those aged over 50 say that they do not trust home insurance providers to handle their claims fairly, according to SunLife.
Of those over 50s who don’t have home contents insurance, 13% told the insurer that it is specifically because they do not trust providers.
Simon Stanney, general insurance director at SunLife, described the findings as “shocking”. He said that the issue of over 50s going without cover due to a lack of trust in insurance companies needed to be addressed.
“It is worrying that as many as a quarter of over 50s don’t trust insurance companies and that some people are putting their homes at risk as a result,” he said.
Stanney said the over 50s were taking a big risk by not insuring their possessions.
“Despite the recent flooding – estimated to have caused up to £1.3billion worth of damage – almost one in ten of those aged over 50 are putting their homes and possessions at risk by not having contents insurance,” he said.
“The latest figures from the ABI shows that the average flood contents claim is £50,000. While contents insurance is not compulsory you have got to think to yourself – if you didn’t have cover, could you afford to replace everything in your home if the worst happened?
“Of the most common reason over 50s have given for not having home insurance is cost, but when you consider the average home’s contents is worth £55k, and the average contents insurance policy costs just £603, is it really worth the risk?”
SunLife’s research also found that of those over 50s without cover, more than a quarter (27%) say it is because the of the cost – specifically because , it is too expenisve (17%) or that the cost of premiums outweigh the risk (17%), while almost a quarter (23%) say they don’t have enough contents to justify having cover.
Worryingly, a fifth say they ‘don’t know’ why they don’t have contents insurance.