Thursday 25th June 2009
Be Wiser Insurance

Unlike car insurance, it is not a legal obligation to have home contents insurance.

However, what might seem like an extra monthly cost is actually something that could prevent a massive payout if your house was damaged or burgled.

According to the Association of British Insurers, some people think that cancelling cover is a way to save cash - but it is in fact what is referred to as a false economy.

Over one in five people have done this, it said.

Such homeowners are greatly exposing their risk should an opportunistic thief choose their home to rob.

The government said it has been making progress in reducing burglary rates, but home insurance isn't just designed to protect this instance.

Lots of policies have accidental damage cover, so you won't lose out if a spillage, knock or bump affects anything in your house.

Other contracts have a clause by which the value of content covered increases for a short period at Christmas, because many people keep gifts and presents stocked away in wardrobes or the attic in preparation for December 25th.

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