Personal Theft and How Home Insurance can Help

Personal theft and how home insurance can help

Ever since the onset of the credit crunch which plunged the UK into recession, crime has been on the rise as people struggle to make ends meet. Domestic burglaries rose by four per cent in 2008 according to the Home Office, with a steep rise in home insurance claims as a result.

However, did you know that home insurance could be a saving grace if you fall victim to a personal theft too?

Personal theft is on the increase and with many of us carrying around goods worth £100s on a daily basis, it’s important to make sure these items are protected. Here we look at the rise in personal theft in the UK, where you are likely to be attacked and what you can do to protect yourself.

Home insurance claims up as personal thefts rise

In-depth research from the Home Office has examined the issue of personal theft including when and where you are likely to be attacked.

It found that the majority of personal thefts occur during the week with mornings and afternoons prompting more attacks than the evenings, suggesting that commuters are often targeted on their way to and from work when they may be carrying high value items such as laptops, mobile phones and more.

Thefts most commonly occur on the street, although thefts inside shops and supermarkets are also frequent. In and around public transport is also a strong target area so be watchful if you catch a train or the underground to work.

Most commonly thieves steal items with a value of £50-£99 although it’s not uncommon for items to be stolen with a value in excess of £1,000. The items stolen most frequently are cash, wallets, foreign exchange and purses. Mobile phones and credit cards are also popular, suggesting that many thieves prefer to pick pocket rather than to confront their victims.

Unfortunately being a victim of personal theft doesn’t simply end with the incident. Many of those surveyed by the Home Office reported long term emotional effects too. These include feelings of anger, shock, fear, depression and even a feeling of vulnerability and a loss of confidence.

How can home insurance help?

If you thought that home insurance only protects items you keep inside your property then think again. A number of home insurance providers now offer personal possessions cover, which protects items you take outside the home.

When choosing the right level of personal possessions cover that’s right for you, pay attention to the terms and conditions. For example, some providers impose strict limits on the amount you can have stolen. There may also be single item limits too - so if you carry a laptop worth £1,000 to work every day, but there is a single item limit of £500 then clearly your laptop will not be protected.

Also make sure that there are no exclusions of certain items. For example, not all personal possessions cover will protect bicycles - you may need separate bike insurance or a home insurance policy with pedal cycle cover if you ride a bicycle to work. Other items that are commonly excluded include mobile phones, as they often need to be insured separately.

So call your existing home insurance provider and see if you have personal possessions cover. If not, and you carry items with you consistently, consider shopping around for another policy. You can use a comparison website to compare the policy levels available and to get the cover you need at the right price.

How to avoid a home insurance claim for personal theft

Home insurance provides a great safety net as you can never control the actions of opportunist thieves. However, that doesn’t mean you can’t take steps to protect yourself further.

For example, be vigilant when you’re on the move. Keep an eye out for people who look suspicious and if you’re not comfortable with somebody close to you then move away and if necessary into a more public environment where it is more difficult for a thief to strike.

Also try not to display items. Use inside and zipped pockets so nothing can be snatched away from you.

Finally, remember to keep as many items as you can at home - don’t carry more than you need to. Keep the contents aspect of your home insurance policy as up to date as possible and keep hold of receipts. Ideally take an inventory of items you own with supporting photographs. This should help the claims process run smoothly.