How to estimate your home contents value

When taking out home contents insurance it’s important to provide a correct estimate of your contents’ worth. This is because you want to have enough cover in place should you make a claim. If you get it wrong and your home is burgled, or your geyser bursts and ruins everything in its path, then you could be left out of pocket.

People often make the mistake of providing a rough calculation that includes only the obvious things like furniture, technology and jewellery. However, it’s also important to include more permanent features like carpets, light fittings and stoves.

To start, imagine that your home has been completely gutted and you are staring at the shell of your house – what would you need to refurbish it from the ground up? The below tips could help to ensure you leave nothing out.

1. Work from room to room.

According to industry professionals, you will be able to get the most accurate figure if you take it from room to room, making a list of the contents of each. Don’t forget to include all the fixtures and fittings. Place an amount next to each item to achieve a total figure. Don’t guess what an old item costs, rather put down the amount that the same or equivalent item would cost now.

2. Be thorough

Include everything from beds, carpets, books, couches, bathroom cabinets, light fittings and electrical goods to jewellery, bed linen and clothes. Any high value items, like jewellery and antiques should be valued by a professional. Get a valuation certificate and regularly have this updated on your insurance policy so you receive the correct pay out if you need to claim.  Budget Insurance house contents insurance also includes cover for food that is spoiled due to a power outage or freezer breakage, so include an amount for that too.

Still not sure where to start with what to cover? Download our editable home contents inventory list.  

3. Garden and outbuildings

Check with your insurance company whether their contents insurance covers items kept outside the main home. If you want these covered then you need to include these on the list. Garden furniture, gardening equipment, tools and expensive potted plants should all be included.

4. Claims limit

Some insurance companies’ home and contents insurance will place a limit on the maximum you can claim on a single item. If you own rare antiques or heirlooms that are worth a large sum then you need to check that your policy has a high enough maximum claims limit to cover these items. If not, look into having these items insured separately.