Households across the UK have been advised to check their home insurance policies immediately following a sudden increase in the price of gold jewellery and luxury watches. Gold prices have soared to record levels as investors seek safe havens amidst global market uncertainties caused by trade tariffs imposed by US President Donald Trump. Admiral Home Insurance has issued a warning urging homeowners to review their cover for valuable items such as gold jewellery and luxury watches, as these items may not be adequately insured under existing policies.
The insurer highlighted that many policies have limits on coverage for valuables, with items valued at over £2,000 requiring separate listing on home insurance policies. Failure to update valuations could result in under-insurance, potentially leading to inadequate compensation in the event of theft, damage or loss. Noel Summerfield, household director at Admiral Insurance, stressed the importance of providing accurate valuations to ensure full coverage and advised policyholders to regularly reassess the value of their items.
Admiral provided tips to help ensure that gold items and luxury watches are fully covered under home insurance policies. These include keeping receipts to track changes in value, maintaining an inventory with detailed records and photos, checking policy details for specific requirements, securely storing valuables, and keeping valuations up to date. Failure to adhere to these guidelines could leave policyholders at risk of being under-insured in the event of a claim.
The importance of reviewing home insurance policies has been underscored by Admiral’s experience, with over 300 claims for stolen watches outside the home in the last two years, with the majority of claims involving items valued at over £2,000 that were specifically listed on policies. This serves as a stark reminder of the need for homeowners to stay vigilant and ensure that their insurance coverage reflects the current value of their possessions.
As the value of gold continues to surge, it is crucial for policyholders to remain proactive in updating their insurance policies to avoid being under-insured. By regularly assessing the value of their valuables, providing accurate valuations to insurers, and complying with policy requirements for high-value items, homeowners can mitigate the risk of financial loss in the event of theft or damage.
Households are advised to take heed of Admiral’s warnings and take immediate action to review their home insurance policies. With the value of gold and luxury items on the rise, ensuring adequate insurance coverage is essential to safeguard against potential losses. By following the insurer’s recommendations and staying informed about policy requirements, homeowners can protect their valuable possessions and have peace of mind knowing they are fully covered.
In conclusion, homeowners are urged to act promptly and assess their home insurance policies in light of the escalating prices of gold jewellery and luxury watches. Taking proactive steps to update valuations, comply with policy requirements, and secure appropriate coverage is essential in safeguarding against potential under-insurance. As the market continues to fluctuate, it is paramount for individuals to stay informed and proactive in protecting their valuable assets through comprehensive insurance coverage.