Home insurance policies frequently exclude coverage for accidents or damages caused by pets.
UK pet owners may be unaware that damages caused by their beloved pets might not be covered under standard home insurance policies. A study by Go.Compare found that almost 45% of pet owners are unaware of this critical exclusion, affecting over 12.5 million pet owners in the UK [1][2].
This lack of awareness has led to insurers rejecting pet damage claims totaling around £801.8 million, affecting over 480,000 claims, roughly 2% of the country’s pet owners [1][2][3]. Consequently, many owners may have faced increased premiums due to declaring rejected claims at policy renewal, highlighting the importance of understanding and checking insurance coverage specifics regarding pets.
Pet damages might not be included in standard policies, but accidental damage cover can be added as an add-on. It's essential to check if the added accidental damage cover protects against cat or dog damage. Before buying a home insurance policy, it's important to carefully review what is covered and what is excluded.
In 2020, the value of pet insurance claims handled by insurers was at its second highest annual amount, according to the Association of British Insurers (ABI) [4]. Despite the high number of claims, just over half (52%) of pet owners who claimed for pet damage were successful, according to the survey results [1].
Comparing policies can help find a provider that offers the required level of cover at an affordable price. For instance, Bought By Many will remove the industry-standard two-week waiting period for customers switching insurers for pet insurance in August [5].
The support given by insurers to pet owners throughout the Coronavirus pandemic is highlighted in the ABI's figures. The pandemic has led to a surge in pet ownership, with many people turning to pets for companionship during lockdown [6].
It's worth noting that some home insurance providers offer protection for damages caused by pets, but it may require shopping around. Younger residents are the least knowledgeable about this issue, as substantially more older pet owners said they knew about the rule than younger ones.
For more information about the impact of pet ownership on home insurance, Go.Compare's website provides valuable resources [7]. Understanding the coverage provided by your home insurance policy can prevent unwanted surprises and avoidable price hikes when pets cause damages.
References: [1] Go.Compare (2021). Pet owners unaware of home insurance pet damage exclusions. Retrieved from https://www.gocompare.com/press/2021/03/23/pet-owners-unaware-of-home-insurance-pet-damage-exclusions/ [2] MoneySavingExpert (2021). Pet damage not covered by home insurance. Retrieved from https://www.moneysavingexpert.com/insurance/pet-damage-not-covered-by-home-insurance/ [3] Financial Ombudsman Service (2021). Home insurance: pets. Retrieved from https://www.financial-ombudsman.org.uk/consumer/complaints/home-insurance-pets [4] Association of British Insurers (2021). Pet insurance claims at second highest annual amount. Retrieved from https://www.abi.org.uk/news/news-articles/2021/01/pet-insurance-claims-at-second-highest-annual-amount/ [5] Bought By Many (2021). No more waiting periods for pet insurance. Retrieved from https://www.boughtbymany.com/news/no-more-waiting-periods-for-pet-insurance/ [6] Office for National Statistics (2020). Coronavirus and pets: UK pet ownership 2020. Retrieved from https://www.ons.gov.uk/peoplepopulationandcommunity/birthsdeathsandmarriages/registrations/bulletins/coronavirusandpetsukpetownership2020/2020-09-14 [7] Go.Compare (n.d.). Pet insurance. Retrieved from https://www.gocompare.com/pet-insurance/
- Despite many pet owners being unaware, some personal-finance aspects related to home insurance, like pet damage claims, might not be covered under standard policies, which could potentially lead to high finance costs.
- As seen in the ABI's statistics, understanding personal-finance matters like the coverage provided by home insurance policies for pet-related damages can help pet owners prevent unwanted premium increases or unexpected costs due to events like pet damage.
