A new survey from GoCompare.com has revealed some worrying revelations about the way people are choosing to save money in this economic downturn, with 8% of those surveyed revealing that they were considering not renewing their contents insurance. A further 8% revealed that were considering not renewing their home building insurance.
The survey also showed that a third of respondents had delayed home maintenance and decorating in a bid to save money, whilst 22% are putting off buying a new kitchen and 17% were putting off fitting a new bathroom because they simply couldn’t afford it.
The insurance revalations are far more worrying however, because owners stand to lose everything in the case of a flood or fire of they are not covered.
Head of home services at GoCompare.com, Phil Paterson-Fox explained, “In the current economic environment it is a good idea to review your finances and cut back on unnecessary spending – but it is important that in order to save money now, you don’t make false economies.
“Homeowners need to think carefully about the maintenance jobs they are putting off. While it may be ok to delay cosmetic redecorating jobs, essential repairs should not be ignored. Delaying structural repairs – a leaking roof for example, may lead to more damage and a bigger bill for repairs in the long-run than if it is dealt with promptly.”
Phil added, “People should also think very carefully before deciding not to renew their home insurance. While it is not a legal requirement to insure your property, it is usually compulsory to have buildings insurance if you have a mortgage on your home.
“The cost of rebuilding a property after fire, flood or subsidence can run into tens of thousands of pounds, so even if you own your home outright, you need to consider what you would do if the worst happened. Similarly, before stopping your home contents insurance you need to think about whether you can afford to replace lost or damaged goods.
Shopping around for home insurance using a comparison site is quick and easy and can save hundreds of pounds.”