Correctly Value Your Contents So You Aren’t Under-Insured

You may not realise the true value of your contents until you need to replace them and then it’s too late. If you suffer a fire or theft or your contents are damaged or lost you may find yourself in financial hardship replacing everything. Unfortunately, people don’t realise that the cost of increasing the value of their contents is relatively minor.


What’s Included in Contents Insurance?

Contents insurance is a form of personal insurance and covers the cost of repairing or replacing personal items and furnishings such as carpets, curtains, tiles, furniture, white goods, TVs, appliances, clothing and toys, to name a few. Included in the policy are the possessions of all members of the family residing at the property. Friends and visitors’ possessions may have a limited cover depending on your policy.


Types of Contents Insurance

There are two main types of insurance cover for contents – accidental damage or listed events cover. Accidental damage cover includes the events such as fire, theft, storm, earthquake, impact damage etc. as well as any accidental loss or damage. Listed events cover is limited to just the events listed above but will does not include any accidental loss or damage of your contents or personal effects.


Reasons why Contents are Undervalued

  • Policy is paid each year without reviewing and updating the details
  • Floor coverings and fittings replaced during a renovation, but the insurer isn’t informed of the new value
  • Children start working and spend more money on their wardrobe and a new computer which isn’t added to the policy
  • Valuable items not added to the policy or could exceed the cover provided on the policy
  • Collections not declared to the insurer
  • Contents not correctly calculated when the policy was taken out


How to Ensure you have Adequate Contents Cover

  • Walk from room to room making an inventory list of the items contained in each room and the value of replacing each item – remember to include the floor coverings and window treatments
  • Go outside and do the same for the contents of your patio, garden shed, workshop or storeroom
  • Total up each area of the home then check your existing policy to see if they match
  • Keep a copy of your receipts for expensive items as proof of ownership

Phoenix Insurance Brokers Pty Ltd can answer any questions about contents insurance so if you aren’t sure about what is considered as contents or what is classified as a specified item, for example, call 9367 7399 to speak to one of our experienced brokers or complete our personal insurance quote form, and we’ll get back to you.

About Kylie Hardy

Kylie has over 25 years’ experience in the Insurance Industry, starting her career straight from high school. Kylie joined Phoenix in 1996 as a receptionist and since then has worked her way from the reception desk to the respected Senior Broker that she is today.

A Rockingham local, Kylie has spent many years supporting clients in the Rockingham / Kwinana / Baldivis and Port Kennedy areas but also has clients throughout Western Australia.

Please contact Phoenix Insurance Brokers Pty Ltd today to discuss your Insurance needs.