Brits value objects over own lives

08 December 2006

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People place more priority on protecting their TV and DVD player than their home, according to new research.

We are more likely to buy home contents and travel insurance than life cover or to protect our mortgage payments should things go wrong.

What’s more, almost as many insure their credit cards and have central heating breakdown cover, as protect their mortgage payments.

The top three things people in the UK believe it is most important to insure are: Life - almost 40% of people; Home contents - 23%; Mortgage payments - just 11%.

But the reality is quite different. Instead, the most popular people actually insure are their home contents - almost three quarters of people have purchased this insurance. Just over half of people have taken out life insurance, 23% have protected their mortgage payments and more people insure their central heating, white goods or credit cards than have critical illness cover.So what would we do if things were to go wrong?

A massive 40% say they would rely on state benefits to help pay their mortgage and 12% say they’d sell their home in order to keep up with the bills according to the research. Only four in ten would use their savings to bail the family out in the event of losing one income, while only 23% would use their insurance if they or their partner were unable to work due to an illness.

Roger Edwards, from Bright Grey, who carried out the study comments: “I would have expected many more people to rank life cover as the most important insurance to have. And it’s astounding to see protecting mortgage payments so far behind contents insurance. Surely running the risk of losing your home is a bigger concern than losing your TV and DVD?”"

Over three times more people insure their home contents than protect their mortgage payments – this makes little sense. And although people seem to know how important life insurance can be, many simply aren’t taking out the cover.

“For most, life insurance is key when it comes to planning properly for the future. It protects your dependents if you die and they lose your income. And if you don’t have dependents, and really don’t need life cover, then what about critical illness cover or income protection - if you value yourself, you should be protecting yourself.

“But many people seem to have lost sight of their real priorities. Their financial savvy seems to have gone out the window when deciding what insurance to buy. All this points towards the need for consumers to seek advice when it comes to cover, to help them understand their priorities, the options they have and to get the right things insured.”

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