Lee Sparrow, an Account Executive specialising in Property, highlights the importance of High Net Worth insurance cover and why high value contents should be individually covered by such an insurance policy.
"For those who have that little extra to insure, it is key to ensure your high value home insurance cover reflects the asset you are insuring.
Home insurance can cover your buildings and contents, and those customers that have high value assets need to make sure they are properly covered by High Net Worth policies.
To give an example, standard home insurance policies only cover you for sums up to an average of £2,000-£3,000 so if you have something worth £12,000 which gets damaged then you are going to lose out significantly in your claim. Worst case scenario, the insurance company may not even pay out at all as the high value item wasn’t properly covered by that policy.
For buildings, High Net Worth cover is more suitable for listed properties or homes in conservation areas.
If your property is listed, any rebuilding of the property will have to be carried out in a certain way as you can’t just put modern UPVC windows in - you will need to replace with certain wooden structures and that will give a steer on what to value the insurance policy at.
In conservation areas, local government will require all repairs in keeping with other properties in the area so that expense has to be factored in.
For individual contents, what we have seen recently is that the price of certain items have rocketed and are valued much higher than in previous years.
The value of shotguns, works of art, jewellery and watches, especially Swiss watches such as Rolex, has shot up particularly, and it is imperative that these items are insured individually to avoid losing out on any claims.
Furthermore, with some High Net Worth policies where an item is damaged beyond repair you may get to keep what is salvageable of the item on top of the insurance company paying out.
High value contents should be valued by a professional and then your insurance broker can fully understand the contents sum to get you the most appropriate High Net Worth insurance cover."
If you'd like to speak to Lee, call him on 01228 406290 or email him direct