Are you insured for your Christmas presents?

The UK will spend almost £10 billion on Christmas presents. There’s an 84% rise in people  spending over £700 on presents this year. But how will pricey gifts impact your insurance?

What does my policy say about new possessions?

Most Romero Private Client customers will automatically be covered for up to 25% of the current sum insured, for new items. But you must tell your insurer about the new possession within 90 days of acquiring it (and pay extra premium if required). Please refer to your Policy Wording to check the cover or call us any time for information or advice.

So… if you bought an expensive watch on the 20^th November, you have until the 18^th February to tell your insurer. If the watch gets damaged any day up until the 18^th February, your insurer will pay out for the damage (minus any extra premium due). But wait until the 19^th February, and you won’t be covered for any damage to the watch.

Each insurer will cover different amounts and the period of the extended cover will vary. Check with your broker and read your policy carefully.

What presents are covered?

You’ll be covered for any new valuable items, including art and collections, jewellery, watches and technology. Don’t forget you’re only covered for up to 25% of your Sums Insured (the amount your policy covers you for). So if you’ve been extra spoiled this Christmas then you’ll need to tell your insurer or insurance broker asap. Otherwise, you won’t be covered at all for the additional items.

What are my Christmas presents covered against?

Your presents will be covered against theft, fire, flood and any other damage. If something does happen to an expensive gift within 90 days, then your insurer will either pay for the repair or replacement.

Be extra careful with your Christmas gifts

Whether you’re gifting a $2.3 million bathtub Mike Tyson-style or keeping it simple with classic jewellery or a thoughtful ornament, you should always consider what would happen if your precious gift got damaged. We hope that won’t happen. However, according to National Accident Helpline, over 500,000 people have had a fire in their home over the Christmas period. It’s an accident-prone time of year (as life generally gets a little more stressed, rushed, crowded and merry). It’s important not to be complacent.

Keep in touch with your broker

We’ve said it before, but it’s important to check your policy and ask your insurance broker any questions you have. We’ll be able to communicate with your insurer and arrange any additional cover you need. We don’t close over the Christmas period (aside from bank holidays), so if you’ve got any queries over the festive season don’t hesitate to contact us.