The sum insured is the total amount we will pay in the event of a claim. That means you need to make sure you assess carefully how much it would cost to replace all your contents. It’s very common for people to misjudge this and under-insure. Then if the worst happens, they get a nasty shock.
Along with larger items such as sofas and beds, think about clothes, shoes, bags, medicines, books, crockery… it’s worth spending some time to get it right.
As a minimum, our Wrisk policy has a sum insured limit of £3,000 but you can increase this up to £20,000.
To keep things personal and make sure you don’t end up paying for cover you don’t need, we encourage you to itemise the specific things you care about protecting in addition to your general contents.
Choosing the replacement value of a specific item
The replacement value of an item is the cost of replacing an item on a like for like basis. So the cost of replacing an item isn’t necessarily the same as the price you originally paid.
For instance you may have bought your mobile phone when it was first released, but it may be cheaper now if other models have been released.
You may also be able to replace an item by buying a second hand one that is the same age and condition as the item you are insuring.
This value determines your sum insured for your item and therefore the maximum we would spend on a replacement item in the event of a loss.
Make sure you don’t put in too high a value because you’ll end up paying a disproportionately high premium but don’t go too low either otherwise, in the event of a claim, you won’t receive an equivalent item.