If you’re a student, chances are you haven’t given much thought to insurance, and we don’t blame you, it’s not something you would instantly think about. However, given that one in three students at university are victims of crime each year, and young people are three times more for likely to be the victims of burglary, it is vital you look into purchasing contents insurance to protect your possessions.
Many students wrongly believe that their belongings are automatically protected by their landlords, and some believe that their parents’ home insurance will cover their possessions. While some insurers will indeed cover students’ assets under their parents’ home insurance, most don’t, and even the ones that do usually restrict what they will actually reimburse. The only way for students to fully protect their personal items is to purchase their own contents insurance policy.
Contents insurance, simply put, covers the items inside your property and shouldn't be confused with buildings insurance, which protects the physical property itself, including the foundations and roof. Landlords are legally required to take out buildings insurance when purchasing a buy-to-let property, but getting contents insurance is the resident’s responsibility.
Your contents insurance will protect your valuables against loss or damage caused by vandalism, theft, and even things like storm or fire damage and burst pipes. You may not necessarily think you have many valuables, but could you afford to replace your mobile phone, laptop, games console and TV should they get stolen? New research has found that most students have around £4000 in valuables, so contents insurance should be an essential purchase, especially when you think that most policies can cost you as little as £10-£20 a month depending on what you want covered.
It’s important to check the restrictions when taking out a policy as many insurers won’t cover as standard laptops, mobiles or other portable devices while you’re away from your property - they usually offer this cover at an additional cost. What’s more, some policies will not cover bicycles or musical instruments so it’s important to check before agreeing on a policy.
As a student, chances are you live in shared accommodation, where many people have access to hallways and communal rooms. If this is indeed the case, it is vital you purchase a policy that covers ‘walk-in theft’ (where there is no evidence of forced entry), otherwise you may not be protected should your flatmate leave the front door open!
The cost of replacing broken or stolen items is far higher than the cost of contents insurance, and that is why, if you can, we recommend you add accidental damage protection to your policy to cover everything from spilling a drink over your laptop to dropping your phone down the stairs.
The total cost of your student contents insurance will be based on how much cover you want to take out. For example, you may not have many valuables and only want cover up to the value of £3000, on the other hand, you may want to cover items up to the value of £10,000. As a rough estimate, we recommend budgeting between £10 and £30 a month for a decent policy; you can usually pay for your cover in two ways, either monthly or in one lump sum. As lump sums can be fairly expensive for students, most opt for monthly payments by direct debit. It is also worth noting the compulsory excess that you will have to pay out first should you need to make a claim, as the higher the excess you’re willing to pay, the lower the cost of your overall policy.
Are you student in Cardiff looking for student accommodation? If so, the team at CPS Homes can help find you the perfect property in many beautiful areas across Cardiff. If you would like to book a property viewing please contact us today on 02920 668585, email: email@example.com, or pop into our Woodville Road office.