A study by Co-op Insurance discovered nearly half of adults admitted they found this type of insurance ‘confusing’ and nearly three quarters said they wanted insurers to use less jargon.
Meanwhile, 17% confessed to having no idea what their policy actually covered.
Co-op said that with the average value of home contents insurance currently standing at just under £36,000, a total of £175 billion worth of items were without cover.
Contents cover explained
Nearly all the people questioned for the study said they would welcome moves to make policies more easy to understand, suggesting providers used bullet points, real life examples and cut out the jargon.
Now, in response, Co-op has launched an online tool to help make home insurance policies more understandable to customers.
Caroline Hunter, head of home insurance at Co-op said it was ‘concerning’ that two fifths of adults were confused when it came to contents insurance and that this resulted in many people going without cover.
She added: “With 92% of people feeling insurers need to do more to make policies transparent, it’s evident that the industry needs to look at new ways of effectively communicating policies simply.
By Kate Saines
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