Home insurance rose by 10% during 2011 survey finds

home-insurance

A recent survey conducted by the AA Insurance group has estimated that the cost of home insurance rose by 10% over the course of 2011.

Breaking down its findings, AA Insurance discovered that buildings insurance premiums rose by 3.1% from an average of £143 a year in 2010 to £156 in 2011, while contents insurance also went up, this time by slightly more than buildings cover, increasing by 4.4% to an average £80 a year in just the last three months of 2011.

An increase in the number of home insurance claims, coupled with an increase in crime levels, is believed to be responsible for driving the cost of home insurance upwards. The past two winters have also seen the insurance industry hit with a high level of claims for winter weather damage to property including burst pipes and caused by plummeting temperatures and storm damage and flooding, which has caused insurers to raise their premiums as a result.

The British Crime Survey also showed that crime levels have increased in England and Wales, with the rate for domestic burglaries in these areas up by 10% in the last 12 months to June 2011. Insurance experts believe the increase in the number of domestic burglaries is linked to the economic pressure much of the country is currently experiencing.

Insurer reports surge in car and home insurance claims as storms hit UK

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Insurance provider, the AA, has reported a 200% increase in the number of calls it has received this week with regard to claims following damaged caused to property of vehicles as a result of the storms which have been battering the UK in the last 7 days.

The most common issues being reported to AA insurance include damage to roofs including falling roof tiles, to broken windows caused by falling trees, fallen guttering and damage to cars caused by flying debris.

The continued stormy weather conditions are also having a knock on affect on repair work as high winds in many regions of the UK make it too dangerous for maintenance workers to get onto roofs to repair tile damage for example. Home insurers are recommending policy holders get in touch with their insurance provider before carrying out any repairs as they may be able to arrange temporary repair work to tide the property over until the issue can be resolved properly.

While last winter saw a rise in the number of claims being made on home and car insurance policies due to the icy and snowy weather conditions which affected the UK, this winter high winds and storms are hitting the headlines as Brits bear the brunt of this extreme weather.

The AA say roofs and cars are coming out as the areas in which most calls are being received with an increase of 12 times the normal ratio to report damage relating to these two areas. Overall calls to the AA are up by 200% compared to the number of calls usually received at this same time in previous years.

Home insurance January sale launched by Direct Line

direct-line

Insurance provider, Direct Line, has unveiled plans to launch a January sale on its home insurance policies this week. So if you’re looking to re-evaluate your outgoings and streamline your spending ready for the New Year, Direct Line are offering some highly competitive deals on their home insurance packages to help you cut back your spending in 2012.

Direct Line say their January sale on home cover is geared towards helping customers who are looking to cut back on their spending after Christmas. After an expensive festive season, many of us will be looking to get our finances in order in January, and home insurance is a big part of that, and so Direct Line hope to offer their customers a head start with their New Year budgeting with the introduction of their reduced home insurance rates.

As part of the January sale at Direct Line, new customers taking out a home insurance policy with be eligible to receive an introductory discount of 30% off their home cover, while customers will be able to take advantage of a further discount of 20% by purchasing their insurance policy online with Direct Line, please see the insurers main website for further details.

The Direct Line January sale will be supported by the launch of new TV adverts airing from this week.

New car and home insurance app launched by Zurich

iphone

Zurich has become the first insurance provider to launch a smartphone application for home and car insurance combined. A number of insurers have introduced apps for either car or home cover, but Zurich are the first in the market to offer the two elements side by side.

The new app from Zurich is available to download onto Android and iOS devices and allows customers to record data following an accident, report an incident, and track their claim through the company.

These types of features are standard of insurance apps, however the Zurich application also provides customers with information on the nearest Zurich approved mechanic or home maintenance engineer, and also a helpful parking locator tool as well as advice on how to minimise the risk of a mishap in the home and tips for driving in severe weather conditions.

Having an app to hand when you encounter an accident can be especially beneficial in the claims procedure as the step by step guide ensures you record all relevant information your insurer will need to carry out a claim.

The app will also enable customers to submit pictures of damage which can be beneficial when filing a claim, and also ensure that the whole claim process is fast and efficient as information is received by Zurich with just a few taps of your phone keypad.

Advice from insurers issued to homeowners as storms approach

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Home insurance providers have issued advice to homeowners on how best to protect their homes ahead of the wintry and stormy weather which is forecast to strike in the coming days.

The Met Office has issued weather warnings for large parts of the UK to be on high alert for strong winds, with much of the country set to experience winds of at least 45mph, and also selected areas which could be hit by snow and ice and plummeting temperatures.

Home insurance provider, Aviva, has issued a number of recommendations to home owners to help minimise the effects of the stormy weather on property. The insurer advises policyholders to park their cars in a garage if possible, and also to secure any loose items outside their property such as garden ornaments and furniture, toys, ladders and bikes, and also to ensure all doors and windows are fastened securely.

Aviva also recommend that home owners check for any loose roof tiles, as this is one of the most common issues reported to them, and also advise that any weak fences or gates are secured and to check that all TV aerials and dishes are securely attached.

The home insurer also advised that a home insurance policy is not a maintenance policy and that your insurer will expect that your property is maintained to a reasonable standard as work to repair wear and tear is not covered by home insurance.

Home insurers advise property owners to prepare for winter

frozen-pipes

Home insurer Direct Line have issued a recommendation to home owners to prepare their properties ahead of winter to avoid damage which can be caused by the change in weather. The insurance provider has estimated that 40% of UK property could be left vulnerable to winter damage as the weather starts to turn, which leaves a number of homes open to problems and consequential insurance claims.

According to the home insurance provider, frozen pipes and broken down boilers are two of the biggest culprits causing headaches for home owners during the winter months and so it’s a good idea to have your boiler serviced, and to ensure any exposed pipes are well insulated before the cold weather sets in to help prevent your home falling victim to these two common issues.

As the last two winters have clearly demonstrated, cold weather can cause havoc for home owners and serious damage to property. Insurance experts advise UK home owners to ensure they have essential home energy cover in place as this will help safeguard against any unexpected problems and make sure you get the help you need right away.

It’s also advisable to have a comprehensive home insurance package as these policies will generally cover against a range of winter damage, however it’s recommended you check up on the details ahead of time to ensure you have adequate cover in place before the winter sets in.

50% rise in the number of drivers regularly switching their car insurer

Gocompare-Logo

According to new research conducted by price comparison website, GoCompare.com, the number of motorists switching their car insurance provider has increased significantly.

The results of the GoCompare.com poll found that in December 2009, only 22% of drivers were shopping about and switching their car insurance company after finding a better deal, however that figure has risen to 34% according to the most recent statistics taken in October 2011, which indicates a 50% increase in the number of people moving providers in the space of two years.

While more and more people seem to be getting the message that comparing providers can save you money on car insurance, the message doesn’t seem to be translating for other financial products with a third of Brits having never switched providers for any of the top 20 financial products such as their bank, energy supplier or their broadband.

Car insurance is by far the one financial product Brits are keen to shop around for, with 77% of us using a price comparison site in the last year to find a cheaper rate on our annual car insurance premium, followed closely by home insurance with 22% of homeowners comparing and then switching their policy in the last 12 months.

The experts who carried out the research at GoCompare.com say that people need to wake up to the savings that are available by comparing a range of providers for everything from their mortgage provider to their telecoms supplier.

According to GoCompare.com, people who use their comparison site to search for car insurance saved on average £393.67, and £125.33 on their home insurance and a massive £557.33 on their energy tariff, savings that are not to be sniffed at, especially in the current economic climate.

Home insurance tips for the festive period

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As the run up to Christmas gets fully underway, your house becomes more of a target to burglars as we bring home the goodies ready for the big day. On average in the UK we spend £624 each on presents and food and drink, which means the value of your contents increases significantly during this time, so to avoid falling victim to thieves, it’s worth checking with your home insurance provider to ensure these extra items are covered should the worst happen.

Many home insurance providers automatically increase the home contents cover by 10% during the festive period, however not all insurers carry this policy so it’s worth checking before you start stocking up for Christmas.

Statistics have revealed that you’re more likely to be targeted by burglars in the winter months, with domestic break-ins rising by 63% during this time. Longer hours of darkness and homes filled with extra items in preparation for Christmas are two of the biggest factors which lead to higher levels of burglaries so to help minimise your chances of falling prey to these criminals there are a number of things you can do.

Never leave your gifts under the tree, high value items should be hidden somewhere less obvious so as to not make it so easy for thieves to make off with these goods or see them from your window.

Once the presents have been opened, be careful of how you dispose of the boxes your goods arrived in; leaving them on the street for the bin men will just advertise the fact that you have a new plasma TV or iPad inside.

If you are going away for Christmas, try to make it look like you are at home by leaving lights on, or asking a neighbour to drop by.

Brits wasting millions every year by letting their home insurance renew automatically

home-insurance

Homeowners in the UK are wasting millions every year by letting their home insurance renew automatically rather than shopping around to get a cheaper deal. According to a recent poll, Brits are wasting £667 million annually by simply letting their home cover renew without trying to find a cheaper quote elsewhere.

If you are one of the millions of UK home owners who allows their current provider renew their cover automatically, you could be wasting as much as £125 as a recent study found this is how much on average homeowners are losing out on as a result of letting renewals happen automatically.

According to research carried out by moneysupermarket.com, almost a third of respondents who took part in the poll admitted that they simply let their home insurance renew every year without checking for a cheaper quote through a price comparison website or broker.

11% of those who took part in the study revealed they simply couldn’t be bothered to shop around for a home insurance quote, while a fifth of those who responded to the survey said they didn’t act to get another quote as they didn’t believe they’d be able to find a cheaper deal elsewhere.

While a high number of home owners revealed that the convenience of simply letting their home insurance renew without having to a lift a finger was the main reason they didn’t shop around for a better deal. However insurance experts argue that £125 a year is a hefty price to pay for convenience, and if consumers were more aware of the savings that could be made, they may be more likely to ditch the automatic renewal and go in search of a better deal on their home insurance.

Homeowners warned over Halloween and bonfire night burglaries

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 Insurance experts are warning homeowners to be extra vigilant this week as this period is notoriously popular with criminals who use the extra hours of darkness to cause damage and break into property.

According to research conducted by insurance provider Aviva, crime affecting property and vehicles takes a sharp upturn after the clocks go back with extra hours of darkness for criminals to work under.

With research taken from across 16 police forces in the UK last year and information regarding claims from Aviva, the insurance company found that the week from October 30th – November 5th saw on average an increase in burglaries of 26%, with Strathclyde falling victim to the highest increase with a surge amounting to 57% more break-ins during this week last year.

Referring back to 10 years worth of claims made through Aviva, the insurer found there was an increase of 28% on average of burglaries occurring on bonfire night, making it one of the most dangerous nights of the year for break-ins.

Halloween also poses a number of problems for homeowners as Aviva estimate from their studies that malicious damage claims jump by 150% on this evening, with a 50% increase in damage reported to cars, and 20% rise in car theft on October 31st.

To minimise the potential for damage to property, insurance experts are warning homeowners to take basic steps such as removing any garden objects and ornaments which could be used to cause damage, also putting cars in garages if possible, ensuring all windows and doors are locked securely, and leaving lights on inside to give the impression someone is in, even if you are out.