Cost of Home Contents Insurance Falls to a Record Low, Yet One in Four UK Households are Uninsured

LONDON, England, Feb. 1 -- The Association of British Insurers issued the following news:

The cost of home contents insurance now stands at a record annual low of pound sterling127 a year - or pound sterling2.40 a week - according the ABI's Home Insurance Premium Tracker published today. The figure stands at its lowest since the ABI started collecting the data back in 2012 and compares to the pound sterling4.40 that the average household spends on takeaway meals a week. Yet despite this, one in four UK households - some 6 million - have no insurance to cover their possessions.

The ABI's Home Insurance Premium Tracker measures what consumers pay for their home insurance, rather than prices they are quoted.

Northern Ireland households are the best protected, with 82% insured, while Londoners the least protected with only 55% having contents cover (figures based on ABI analysis of Office for National Statistics data).

Percentage of households in the UK without home contents insurance1.

Click here to view Table: https://www.abi.org.uk/news/news-articles/2019/01/cost-of-home-contents-insurance-falls-to-a-record-low-yet-one-in-four-uk-households-are-uninsured/

ABI's Quarterly Home Insurance Premium Tracker also highlights that in 2018:

* The average price paid for buildings insurance, at pound sterling258, fell by 8% on 2017 to its lowest level since 2015.

* While the average price paid for combined buildings and contents insurance, at pound sterling307, rose slightly by just over 1% on the previous year, it was still the second lowest figure since ABI started collecting the data in 2012.

Laura Hughes, ABI's Senior Policy Adviser, General Insurance, said:

"While the average cost of home contents insurance is at an all-time low, too many households are still playing Russian roulette with their possessions.

"For some people on lower incomes and renters, especially in cities, insuring your possessions may be seen as unaffordable or unnecessary. But spend a few minutes totting up the value of all your possessions and you'll realise they can add up to a significant sum if they all need to be replaced at once. In a highly competitive market, there are a range of specialist policies available to give you the cover you need at an affordable price. Some housing associations and local authorities may offer cheaper home contents insurance, tailored to your needs and your budget."