When you’re arranging your home contents insurance, do you know the accurate value of the household items you’re insuring?
Correctly valuing your home contents is vital if you ever need to make a home insurance claim. However, it can be difficult to work out how much everything is worth. When you’re assessing the correct amount of home contents cover you need you should be looking for the current replacement value, not how much you paid for them when you bought them.
After all, insurance companies probably wouldn’t be able to exactly replace your great-grandmother’s diamond wedding ring and you wouldn’t want them to give you just the £2 your great-grandfather originally paid for it in 1902, would you?
Make sure you also don’t overvalue them either, as this could mean you pay unnecessarily high premiums.
How to valuate your home contents
So how can you accurately value the things in your home? We’ve put together some tips below on how to start.
Make a list and keep organised
Being organised is the key to making sure you don’t forget anything. Go from room to room noting down articles of particular value. This should help ensure you don’t miss anything. If you’re unsure of the value of any items, it may be worth getting them independently valued.
Also, keep all of your receipts in a safe place - a fireproof safe can prove invaluable for this purpose - that way you have proof of what you bought and when. If you make a claim with this factual data your insurance company will be much more likely to be able to replace all the items you’ve lost.
Jewellery and watches
Most people have items of jewellery or watches that should be insured. If you have a ring or necklace that you think might be valuable, ask for a professional valuation from a jeweller so as you can insure it for its replacement value. Remember the price of gold has risen considerably in the last few years so any gold jewellery may be worth more than you think.
MORE TH>N Contents Insurance
can protect your personal jewellery and watches in your home. Select ‘Contents Outside the Home’ Cover to insure these items when you’re out and about.
Take a look around
Remember that there may be things in your home that are worth more than you think. Have you got a large music collection? Do you own any expensive designer clothes? Have you got potentially valuable artwork hanging on your walls? Make sure everything is covered that should be.
For more information on how to value your contents, read the Which? Guide to contents valuation
(First published on 26/03/2012.)