If the value or the description of your asset is not accurately noted in your policy schedule, you could have problems when you submit a claim which could result in your claim not being settled to your satisfaction or even being rejected.
The value of your assets can either grow or decline over time. Adjust these values on your policy to make sure you are not over insured and paying for cover that you do not need, or under insured.
When you buy an expensive asset, remember to add it to your insurance policy as soon as possible to make sure you are properly covered if the item is damaged or stolen.
If you dispose of or sell an asset, remove it from your insurance policy to make sure you don’t spend more on premium that you have to.
As your circumstances change, so will your risk profile. Keep your details up to date with your insurance company to benefit from lower premiums if you fall into a lower risk profile.
The excess is the uninsured portion of your cover. It is the amount of money that you, as the insured person, are responsible for in the event of a claim. By taking a higher excess if you can afford it, you can significantly lower your premiums.
If you buy something expensive on credit, make sure you have enough insurance cover. You will have to pay any outstanding amount it an item you buy on credit is lost, damaged or stolen, so make sure you are insured properly so that you don’t have to continue paying for your purchase.
Make sure that the asset is comprehensively insured before you take ownership. Speak to your insurer or consultant in good time to arrange and confirm insurance to the finance house or seller. Do not take possession until insurance has been confirmed in writing.
Any circumstances, good or bad, that would influence an underwriter – such as additional terms applied by another insurer – must be disclosed. If you don’t share all the relevant information, you face the risk of your claim being rejected and/or your policy declared void.
As your circumstances change, your reasoning for using a particular insurer or broker could change too. Make sure you still need all the policies or services that you are paying for. Get market comparisons on your current cover and premiums to make sure that your policy is in-line with current market trends and practices.