Nearly four million UK households have no home insurance whatsoever, leaving over £150 billion worth of valuables uninsured at a time when burglaries are rising.
According to new research from price comparison site uSwitch, almost half (46%) these households view it as an unaffordable luxury in the current economic climate.
A further one in six (16%) have never even considered purchasing home contents cover, while a further 18% do not think the risk warrants the expense.
Worryingly, Brits are shunning cover at a time they are mot likely to need it, with crime statistics showing a 4% rise in domestic burglaries.
Renters particularly guilty
Tenants are most likely to shun home cover, even though nearly three quarters (73%) admit they won’t be able to afford replacing their valuables.
According to the research, around three in ten tenants fail to secure cover for their possessions, compared with just 6% of owner-occupiers.
Misconceptions are also rife amongst renters with 11% assuming they’re automatically covered by their landlord's policy.
A nation of content cover scrappers
“We are fast becoming a nation of contents cover scrappers, as renters and homeowners try to cut back and save money during the current recession,” says uSwitch insurance head Mark Monteiro.
The fact that nearly half of homeowners and renters alike don’t feel they can afford home contents insurance at the moment is a worrying sign of the times.
“Yet, with recent crime figures revealing domestic burglaries to be on the up, as has proven the historic norm in a recessionary climate, consumers are running the gauntlet by putting themselves increasingly at risk simply to make a short term saving.”
“It is crucial to remember that the long term financial consequences of being a victim of burglary or suffering damage to your property and possessions will be far more devastating if you are not adequately covered”
