Buying insurance can be a tricky subject, over insure and you risk paying too much in premiums, while under insuring can also be a disaster should the worst come to the worst. So how do you know what is just right?
Obviously the most important tip when it comes to deciding on the amount of cover you need is to take your time and go through your home valuing your belongings. Along with this you can follow the tips outlined below to give you some idea of how much you might need.
Never go rushing and guessing the value of your possessions, you could be surprised how far out of range you are by making a guess. Take a notepad and walk around your home writing down the cost of everything. And by ‘everything’ I really mean everything, from CD’s to clothing to furnishing to your pet cat’s wicker basket!
Once this is done, you can make an educated decision as to how much contents insurance you need.
Also, do bear in mind that if you buy additional items you should always take these into account when it comes to renewing your home insurance. As an example, even just buying two CD’s and a DVD every month can soon mount up to well over an extra