Most Australians have no plan in place to insure valuables while on holidays, says Allianz
New research from Allianz Australia reports 68% of Australians do not have insurance for the valuables they take with them on holiday and 2 in 5 confess they didn’t know valuable items could be insured as an option under their home contents insurance policy.
The insurance provider is encouraging Australians planning to travel with valuables to check their home contents insurance policies before they head off for the upcoming school holidays.
Some home and contents policies include the option for portable contents cover, which usually doesn’t come as standard on most policies. However, for a premium you can add portable contents insurance to your policy and get cover for your valuables while on the move.
"...many are hitting the road or the runway with the contents of their suitcase worth more than the holiday itself."
For example, your valuables might be covered for accidental loss or damage anywhere in Australia and New Zealand, with some providers also offering cover for up to 90 consecutive days in other countries too.
Taking a trip without insurance?
According to Allianz Australia’s research, “many are hitting the road or the runway with the contents of their suitcase worth more ($3,500) than the holiday itself ($2,400)”.
While that might seem like an absurd prospect, the value of many people’s mobile phones and laptops alone are enough to top the cost of a holiday. Then you factor in jewellery.
Travelling with valuables can actually be a stressful experience for many.
Rachael Poole, Head of Home, Allianz Australia said, “Losing or misplacing special items can cause unnecessary anguish and significant emotional distress. Knowing that these items are safe when we’re out and about can help us feel safe and allow us to stress less."
So, if you’re one of the 39% of Australians who “confess they do not feel comfortable leaving their valuables at home” when they’re going on holidays, you have a couple of options which could help alleviate some of this stress.
Tips for insuring your valuables while travelling
The first is to ensure that you have portable contents insurance included in your home contents insurance policy.
Poole says that home contents insurance is designed to cover your belongings at your insured address. Meanwhile optional covers such as Portable Contents, which covers wallets, cameras and mobile phones, and Accidental Damage for sudden, unforeseen or unintended events, are designed to give you peace of mind while you’re away from your insured address.
Your second option is to take out a travel insurance policy which includes cover for your personal belongings.
Most travel insurance providers will offer a policy which includes cover for your personal belongings, like smartphones, laptops, and jewellery.
However, the limits or dollar amount your policy covers you for in regards to your valuables differs between providers and policy options. So, always make sure you read through the policy’s product disclosure statement (PDS) to understand if your policy covers enough of the cost of replacing a lost or stolen valuable.
What is a sub-limit?
Often there will be sub-limits which define how much a specific type of valuable will be covered for. For example, if your policy covers smartphones for a maximum amount of $500, and your phone is worth double that, then you might not find it a satisfactory level of cover.
If that’s the case, then some providers offer the option to increase your limits for valuable items like phones and laptops, for an extra premium. Some of them will even let you increase them to unlimited dollar amounts.
But whether you’re going with your existing home contents or travel insurance policy, make sure you’re getting the best value for money and all the optional extras you need by comparing them with us.
Get the ball rolling on your holiday, knowing that looking out for your valuables don’t have to suck all the fun out of your vacation:
- Compare home contents insurance
- Compare travel insurance policies