Traditionally, those in rented accommodation have been less likely to insure their home contents, than those in owned homes. However, the lack of housing supply in certain areas of the country currently means that for many, buying their own home now seems like an unachievable aspiration. As a result, many families are creating a home for themselves in rented accommodation and amassing all the furniture, fittings and personal effects that come with making a family home.
Because of this, experts at http://www.insuremyhouse.ie say that it’s more important than ever for tenants, particularly those that are past the student or young adult stage, to consider putting appropriate financial protections in place to protect themselves against risk. The home insurance experts believe that as much as 50% of renters may not be insured.
Jonathan Hehir, Managing Director at http://www.insuremyhouse.ie explained, “According to the latest Residential Tenancy Board (RTB) figures, there are over 700,000 people in private rented accommodation at the moment, and given the current property market, many of these are likely to be there for the foreseeable future. While previously renting had been viewed as the preserve of students and younger workers, we are seeing a greater shift in the profile of people renting, but the proportion taking out home insurance doesn’t appear to match the proportion in rental accommodation.
Approximately 312,000* (19%) households of the 1.65m** homes in the State are rented, which is a 15% increase over the last 5 years. However, less than 10%* of home insurance policies taken with us are done so by tenants. And as one of the biggest facilitators of home insurance, our numbers should be comparable with the whole market. While we don’t expect those short-term tenants such as students to take out cover, families, who have a greater exposure to content risk, are leaving themselves open to a huge financial shock if they do not have the necessary cover in place”.
Risking major financial loss
Jonathan went on to say, “Our experience has shown that people are largely not aware that as tenants, they need their own insurance for their possessions, and that in the event of loss, they won’t be covered by the policy their landlord may or may not have in place”.
Dublin, Waterford &
Kilkenny Cheapest Cities for Tenants
Figures from Insuremyhouse.ie reveal that tenant insurance is much more affordable than people may think, as the table below suggests;
Data from the most recent RTB Rent Index confirms that Dublin remains the largest rental market, with Dublin post codes accounting for close to one third of properties on the market, while other urban centres (Cork, Limerick, Waterford and Galway) account for 14% of rental properties.
Jonathan continued, “While the rents themselves won’t reflect this, particularly in Dublin, it appears that Dublin, Waterford & Kilkenny are, on average, the cheapest cities for tenant insurance in Ireland. Depending on your individual situation it would appear that in many cases Limerick is the most expensive city for cover”.
The Insuremyhouse.ie price comparison shows large variances in pricing across the market, and so the expert advice is to do your homework and not opt for the first quote you get.
Jonathan believes that the first hurdle lies in creating an awareness of the need for protection, “Experience suggests people are unaware for the need for cover but once the situation is explained to them and they realise how reasonable tenant cover can be – approximately 98% of the tenants we speak to take out insurance”.