Report finds 74% of Australian renters don’t have home contents insurance

A report by the Insurance Council of Australia showed 74% of Aussie renters are putting themselves at risk by not insuring their home’s contents and 29% who previously held contents insurance, have since not renewed it.

The report stated, "the vast majority of homeowners and renters are exposed to significant financial loss because their insurance does not cover them to resume the same standard of living in the event of a crisis."

The study indicated young Australians are significantly more likely to rank “price” as their most important factor when selecting insurance, however the Insurance Council of Australia stated on its financial literacy website Understand Insurance that price is not the only thing to consider, as cheaper policies may not provide the cover you need if something does go wrong. Compare Mozo's home insurance market to find the best policy for you.

“Make sure you consider your own requirements and which insurance company offers policies most appropriate to your risk. You should have a good understanding of what you will and will not be covered for before signing up for any insurance policy,” advised Understand Insurance.

The report also showed the importance of word of mouth, as more Aussies rely on online reviews than Industry Code of Practice when selecting home insurance and the biggest influence on their judgement of an insurer’s reputation is their own personal experience. You can read online home insurance reviews from thousands of Aussies like you here.