Two out of five tenants have not insured their personal belongings because they need to save money amid the cost of living crisis.
New research by Comparethemarket.com found that a total of 48 per cent had no contents insurance, with 44 per cent adopting this approach to save cash.
A total of 2,003 adults were surveyed between April 19 and April 21 by the comparison website.
Two out of five tenants have not insured their personal belongings because they need to save money
The research was carried out as many households across Britain have been feeling the squeeze financially due to significant rises in energy, food and fuel costs.
But by cutting back on insurance, tenants potentially face even greater financial pressure if they end up needing to replace or repair stolen, lost or damaged possessions.
The research also found that 32 per cent of tenants say that they are less willing to take out home contents insurance due to the rising cost-of-living.
More than half – at 54 per cent – who have previously had items lost, damaged or stolen say that the value of their impacted possessions is at least £200.
For more than one in five – at 22 per cent -, this figure rises to at least £500 worth of items.
Nearly a fifth of tenants have no contents insurance as they mistakenly believe that their landlord’s home insurance policy covers their personal possessions
Home contents insurance differs from landlord home insurance, which covers the building itself, necessary repairs, as well as the landlord’s own contents.
Nearly a fifth – at 18 per cent – of tenants have no contents insurance because they mistakenly believe that their landlord’s home insurance policy covers their personal possessions, such as their mobile phone, tablet, wallet and bicycle.
Tenants are responsible for having their own contents insurance policy for personal items.
Alex Hasty, of Comparethemarket.com, said: ‘The ongoing cost-of-living crisis is placing a substantial strain on many people’s finances. As a result, many renters are having to cut back not only on certain luxuries, such as dining out, but also on critical expenses, like contents insurance, to help relieve the burden of soaring living costs.
‘As household bills and inflation continue to rise, we understand that people will be looking to cut back on expenditure during this difficult time. However, not having cover on personal possessions within your rental property could be costly, should these items unfortunately be misplaced, stolen or damaged.’
