The average weekly cost of home contents insurance currently stands at £2.40 per week, yet one in four UK households has no protection, according to the Association of British Insurers (ABI).
The cost of home contents insurance is at a record annual low of £127 per year–or £2.40 per week–according the ABI’s Home Insurance Premium Tracker published.
This cost is at its lowest since the ABI started collecting the data in 2012, but only approximately six million UK households have no insurance to cover their possessions.
The ABI’s Home Insurance Premium Tracker measures what consumers pay for their home insurance, rather than prices they are quoted.
Northern Ireland households are the best protected, with 82% insured, while Londoners are the least protected, with only 55% having contents cover (figures based on an ABI analysis of Office for National Statistics data).
ABI’s Quarterly Home Insurance Premium Tracker also showed that in 2018:
- The average price paid for buildings insurance, at £258, fell by 8% on 2017 to its lowest level since 2015
- While the average price paid for combined buildings and contents insurance, at £307, rose slightly by just over 1% on the previous year, it was still the second lowest figure since ABI started collecting the data in 2012
Laura Hughes, senior policy adviser for general insurance at the ABI, said: “While the average cost of home contents insurance is at an all-time low, too many households are still playing Russian roulette with their possessions.”
“For some people on lower incomes and renters, especially in cities, insuring your possessions may be seen as unaffordable or unnecessary. But spend a few minutes totting up the value of all your possessions and you’ll realise they can add up to a significant sum if they all need to be replaced at once.”
“In a highly competitive market, there are a range of specialist policies available to give you the cover you need at an affordable price. Some housing associations and local authorities may offer cheaper home contents insurance, tailored to your needs and your budget.”