Ensure your digital downloads are insured
With millions of Brits owning the latest laptop, smartphone, digital music player or tablet computer, MoneySupermarket.com is warning UK gadget lovers to ensure their home contents insurance covers not just their devices but their digital downloads and software too.
Analysis from the comparison site reveals the cover offered for digital downloads varies between home insurance policies. For example, the maximum level of cover for digital content is £500 with home contents from AXA Insurance, while LV= and Direct Line both provide cover up to £1,000, and Hiscox covering up to £2,500 (per incident). Other home insurers however, offer no cover at all for digital downloads, despite the rising popularity of digital content in the UK.
The research also found some insurers make distinctions between covering digital downloads and software stored on home entertainment equipment and computers compared with how they cover data downloaded on mobile phones. It's important to be aware of any differences should you need to make a claim.
Peter Harrison, insurance expert at MoneySupermarket, said: "Gadget-lovers are spoilt for choice, with the array of laptops, smartphones, tablets and multimedia home entertainment systems on offer. Buying one or multiple devices can be costly, and users won't think twice about taking insurance to cover the cost of losing or breaking these high value items. However, I'm sure many people don't consider protecting the content on these devices; the cost of downloading antivirus software, photo editing suites and other programmes soon adds up and it's important to have adequate insurance should the device be damaged, broken or stolen. It's easy to overlook the value of digital downloads and computer software as they are out of sight and potentially out of mind.
"I'd advise homeowners to be sure they have sufficient protection against loss or theft of digital downloads. Check the details of your home contents insurance to see if you have cover in place and if you are unsure after reading through your policy documents, speak to your insurer to clarify if you do have cover and to what extent. It's worth spending some time to value your virtual content to ensure you have adequate cover for all your digital downloads as the upper limits on many policies can be modest. Where possible, keep copies of invoices or bank statements as proof of purchase in case you need to make a claim."