Warning as one in four people cancel their home insurance

Towergate MIA today warned homeowners of the danger of cancelling their home insurance during the current economic downturn. This follows latest research published by the Association of British Insurers (ABI) which reveals that almost a quarter of people admit to cancelling or not renewing their contents insurance to save money.

Other insurances are also being axed, despite the fear of being unable to cope with the unexpected being the biggest single concern for families in the recession.

In a national survey of over 2,000 adults conducted on behalf of the ABI, the survey highlighted that:

  • Nearly a quarter of people (22%) say that to save money in the last year they have cancelled or not renewed their home contents insurance.
  • 17% admit that they have cancelled or not renewed their buildings cover.
  • In Scotland, the figures rise to 28% for contents and 21% for buildings. 
  • One in five (21%) say that they are seriously considering reducing or stopping saving

Kenny Hogg, MD of Towergate MIA said, “These are disturbing statistics uncovered by the ABI at a time when people can least afford to experience a loss. Insurance is all about providing people with peace of mind and protecting them against the unexpected. Cutting back on your insurance protection is a false economy and for those with a mortgage it is invariably a legal requirement for there to be adequate buildings cover in place”.

To discuss your home buildings and/or contents insurance, please call us on 01438 739 861.