Insure you keep track of downloads

Music and movie fans are being urged to keep track of their collections as the download boom creates a risk that valuable possessions are not covered by home insurance, Virgin Money warns.

More than 200 million legal music downloads have been sold in the UK since the launch of online stores in early 2004 and digital versions now account for 85 per cent of Top 20 singles sales.

Experts are predicting a similar boom in movie downloads following a deal between Apple's iTunes and film studios allowing films to be downloaded on the day that DVDs are released. The site has already seen more than two million feature films sold.

But Virgin Money is urging music and movie fans to make sure their home insurance will cover them for the value of their collections if their computer or laptop is damaged or stolen.

Not all household and contents insurance will pay out for downloaded tracks.

Grant Bather, spokesman at Virgin Money, said: "More people are choosing to download music and films and as such, their computer will have a lot of information on it that if stolen, could be lost forever.

"A number of artists including Bloc Party, Marillion and Radiohead have all released their music online and it is clear that over the coming years artists will be exploiting the internet as a way to release their tracks.

"As such, fans need to make sure that should their computer get damaged, lost or stolen, that the tracks or feature films can be restored."

With the Virgin Money Home and Contents Cover, householders are able to claim on any downloads that they have receipts for up to a total of £3,000. If the music is lost or stolen they can claim as if they are CDs. Users who download music and film should print off and keep all receipts safe.

Contents insurance also covers home office equipment, including a computer, up to £5,000, while laptops can be covered by the additional Personal Possessions cover.

Laptops lost outside of the home would not be compensated for download cover, but the laptop could be covered under personal possessions cover outside of the property.