A new study has estimated that insurers have rejected £801.8 million worth of home insurance claims for damages caused by pets, as many Brits don’t realise it is often excluded from home cover. As a result, thousands of policyholders could have seen a needless increase in their premiums, thanks to having to disclose a ‘rejected claim’ at renewal. Now, pet owners are being reminded to check what they’re covered for before claiming to prevent avoidable price hikes.
The numbers come from Go.Compare home insurance, which combined survey results with FCA figures on home insurance payouts. It says that UK pet owners have had over 480,000 claims for damages turned down - equal to roughly 2% of the country’s pet owners. Based on the average claim value, this means millions have been lost due to owners not knowing the limitations of their insurance policy.
The comparison site advises that damages caused by pets might only be covered by accidental damage protection, which is not included as standard on all policies. Yet, many pet owners are unaware of this. Almost half (45%) told Go.Compare that they didn’t know home insurance typically doesn’t cover damages caused by pets - equal to around 12.5 million pet owners unaware of this key stipulation.
The study also highlighted that younger residents are the least knowledgeable about this issue, as substantially more older pet owners said they knew about the rule than younger ones. Just under two-thirds (64%) of over-54s knew about this, a figure which dropped to 53% among those aged 35 to 54, and 46% of under-35s.[2] This suggests that younger Brits need a better understanding of insurance practices.
Pet owners with multiple animals were also more likely to know about the rule. Around half of those with one or two pets said they were aware of it, but this increased to roughly two-thirds (68%) of owners of three pets and around 88% of those with four pets or more.
Go.Compare states that while cover for this type of damage is rare, owners can find it in some policies. Just over half (52%) of pet owners who claimed for pet damage were successful, according to the survey results. This is equal to around 519,000 accepted claims and £862.4 million paid out to owners by home insurers for property damage caused by pets.[1]
Nathan Blackler, home insurance expert at Go.Compare, said: “It’s clear from our survey that many pet owners don’t realise their home insurance probably won’t cover them if their pet causes damage to their property, which is leading to thousands of rejected claims. Having a claim rejected can also result in higher premiums, so it’s crucial to check that you’re definitely covered before making a claim. You can find protection for these damages from some providers if it’s something you feel you’ll need, but you might have to shop around. Before you buy a policy, you should always check what’s covered and what’s excluded. If pet damages aren’t included, see if the provider offers accidental damage cover as an add-on, and check whether this will protect you against cat or dog damage.
“Taking the time to investigate these details will prevent you from encountering any unwanted surprises and avoidable price hikes whenever your cuddly companion gets up to mischief. That’s why you should always compare policies to find a provider that offers the level of cover you need for a price you can afford.”
More information about the impact of pet ownership on home insurance can be found here
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