Just over half (53%) of all renters have a contents insurance policy, according to recent research by Go.Compare Home Insurance.
Residents in rented accommodation are neglecting to take out cover that could save them money in the long run. In comparison, the majority (93%) of homeowners do have protection for their possessions.
Uninsured renters pointed to cost as the number one reason for not taking out a policy. 39% said that contents insurance was simply too expensive for them. More than a third (36%) stated that they didn’t purchase cover because they felt they wouldn’t need it.
While price was the primary factor for renters, many uninsured homeowners share the same view. Over a quarter (29%) told the insurance comparison site that contents cover is too costly, and a third decided against properly protecting their possessions as they didn’t think it was necessary.
The findings come as part of Go.Compare’s latest research on home insurance across the nation. After calculating the number of buildings and contents insurance policies in place, the report can also reveal that just 61% and 69% of households respectively have cover, leaving many unprotected.
Ceri McMillan, home insurance expert at Go.Compare, said: “While you hope you’ll never need to claim on an insurance policy, protecting your house and possessions from unexpected events such as fire, flood or theft is very important, as it ensures you’re not left out of pocket should any of these events occur.
“Although a lot of residents think home insurance is too expensive, there are ways to make it more affordable. Renters only need to worry about protecting their belongings, so they can purchase a contents-only policy. Our latest data shows that the average price for this is £74 per year , but it may be lower depending on your exact details.
“To make sure you’re receiving the most accurate quotes and not overestimating your cover, use our handy guide to calculate the cost of your possessions. Finally, compare quotes from multiple providers to find the best deal available to you.”
Homeowners are also more likely to forget about contents insurance altogether. 8% of uninsured homeowners say they simply forgot to take out a policy, compared with just 5% of renters without cover. Some also admitted to not protecting their property as well as their possessions. Of those who decided against buildings insurance, 13% said they didn’t think they’d need it, 8% said it was too expensive, and 6% simply forgot to purchase cover.