Don't double up on insurance

Picking up a bargain is likely to be the top of shoppers' minds as purse strings continue to tighten across the UK, yet thousands of pounds may be wasted in the run up to Christmas as Brits buy unnecessary in-store insurance policies.

According to new research by esure home insurance, around a quarter (23 per cent) of Brits would buy additional insurance to cover the loss, damage or theft of a new watch, piece of jewellery or mobile phone purchase from the retailer. Yet over 3.3 million adults - already with personal possessions cover as part of their home contents insurance - would essentially be doubling-up on the cover they have and buying a pointless product.

Mike Pickard, Head of Risk and Underwriting at esure home insurance, said: "At a time when household finances are being stretched to the limit, buying insurance that you don't need or already have could add a significant sum to your total shopping bill - especially at Christmas time. It's crucial to know what your home insurance covers before you hit the shops to avoid wasting money on unneccesary policies. Doubling up on insurance is the same as throwing your money away."

esure offers some top tips to avoid doubling up on insurance cover when out shopping:

Check your insurance policy before you shop: Do your homework beforehand. Check what you're covered for and consider adding personal possessions cover away from the home for a small additional premium to cover all of your valuables whilst you're out and about - which includes handbags, mobile phones, and jewellery.

Remember that most home insurance policies cover the whole household: Having checked the small print, parents with personal possessions cover should remind their children - whether they live at home or are away at university - that home contents insurance covers the entire family. Therefore, kids can avoid paying for standalone insurance cover, perhaps for a new mobile phone purchase.

Ignore the hard-sell: It's likely that most shop assistants get commission for each insurance policy sold, so don't feel pressured into handing over extra cash on the spot for additional insurance to cover your new purchase.

Read the small print: Take time to read the retailer's policy document before making a decision and signing on the dotted line. A policy could contain clauses that make it almost impossible to put through a valid claim.

Don't be swayed by the price tag: The retailer's policy may only cost a few pounds or a small percentage of the total purchase price - easily absorbed into the total bill, especially for high-value items - but it still isn't worth paying for cover that you already have.