It's Not Just Santa Who Comes To Visit


Updated on 17 February 2009 | 3 Comments

Protect your home or you could get an unwanted visit from someone who most definitely isn't Santa...

December 25th is still nearly a month away, but thousands of homes will already be full with expensive presents as we hit the high street in our droves -- despite all this talk of a credit crunch Christmas.

In fact, even with sales at their lowest for 30 years, experts are predicting total spending of £82.3 billion in the three months to January 1.

But while you are spending your hard-earned cash on the perfect gifts for your friends and family, opportunist thieves will be trying to get their hands on their own wish-list of Christmas must-haves.

Beware Of The Yuletide Burglars

New figures from insurer Esure show that households become an increased target for criminals over the winter months, with the value of theft claims hiked up by a fifth.

This supports findings from Saga Home Insurance which show October to December are the most popular months for theft claims -- due to the clocks going back, the evenings becoming longer, and people leaving their homes unoccupied more frequently as they catch up with family and friends.

And, as if this weren't bad enough, the problem could be further compounded this year by the fact that we are heading towards a recession. Historically, according to Abbey Insurance, there is significant evidence to suggest that an economic downturn will coincide with an increase in household crime.

Analysis by the insurer reveals that during the last recession from May 1990 to March 1992, the number of domestic burglaries recorded by police in England and Wales rose by 33.8 per cent, while the British Crime Survey also recorded a similar trend.

Get Covered

But while all this makes for rather depressing reading, you needn't have an unhappy Christmas, provided you adopt a few basic measures to deter the crooks and protect your home.

First off, you need to ensure you have adequate cover in place. When estimating the value of contents, you need to understand that it's the replacement value or original price tag that counts -- and not how much you actually paid for the item.

Also note that items above £1,500 must be specified on your home insurance -- and that includes presents for others.

Some people may feel that home insurance is one area of their finances they can cut back on as household budgets tighten in the wake of the credit crunch.

But it really is false economy to scrimp on home insurance.

And this is more important than ever at this time of year when many of us will have thousands of pounds of extra Christmas gifts and New Year sales bargains in our homes -- pushing up the value of our home contents.

Avoid The Under-Insurance Trap

While you may have given little consideration to the value of the expensive gifts you've stashed away already amid the pre-Christmas chaos, by failing to factor this in, you could unwittingly exceed the contents of your policy.

Fall into this trap and you run the risk of your insurance policy not paying out for the full amount of your home contents, should the worst happen. This can apply to the total contents as well as individual expensive items stored in your house.

Check For Extra Cover

The good news is, a number of insurers automatically offer additional cover over Christmas to account for the increased value of the new presents and purchases.

Virgin Money, for example, automatically increases your cover by 10 per cent over the festive period, while Esure provides policyholders with a 15 per cent increase in contents cover between 1 December and 15 January.

Note however, that the duration of this increased cover can vary between providers, so make sure you know if, and by how much yours will rise, when the increase takes effect -- and crucially, when it ends.

Top Tips On Keeping The Burglars At Bay

Make A Resolution To Re-Assess Your Cover

Once the festive season is over, why not make a New Year's resolution to re-evaluate your contents insurance -- taking into account any presents you've been given plus any purchases made in the January sales.

Do this as the echoes of Auld Lang Syne fade away, and you can enjoy peace of mind of knowing you have taken a positive step towards protecting your home.

Compare home insurance at Fool.co.uk

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