Home Insurance: Is Your Phone Covered?

Mobile phones are increasingly becoming more sophisticated and expensive, with some worth upwards of £1,500. As we rely on our phones for many aspects of our lives, it makes sense to protect them from loss, theft, or damage. While you can get separate mobile phone insurance, your phone may already be covered under your home contents insurance.

Accidental damage

Additionally, it is important to understand that accidental damage cover typically applies only when the damage occurs inside your home. If you want your phone to be covered for accidental damage outside of your home, you will likely need to add all-risk personal possessions cover or worldwide accidental loss of or damage cover to your policy. This type of cover will protect your phone and other personal belongings from accidental damage, loss, or theft while you are away from home.

Finally, it is worth noting that there may be some exclusions to accidental damage cover for your phone. For example, some policies may not cover damage caused by a computer virus or malfunction, tenant or paying guest, intentional acts, or certain types of animals or birds. Therefore, carefully reviewing the terms, conditions, limitations, and exclusions of your policy is essential to understanding your coverage accurately.

Loss or theft outside the home

If you want your mobile phone to be covered by insurance outside of your home, you will need to add all-risk personal possessions cover to your home insurance policy. This is also known as 'away from home' or 'all risks' insurance. This type of insurance will cover items outside of your home, including mobile phones and other gadgets, as well as items that regularly leave the home, such as jewellery, wallets, and bicycles.

Some insurers offer up to £5,000 in total for cover away from home, but you may need to specify a single-risk item of high value when buying or renewing your home insurance. You will also need to list your phone as a 'specified item' in your home insurance application or comparison. If you upgrade to the latest model, check that your insurer will cover this specific model and that they are aware you have a new phone. Otherwise, your new phone may not be covered.

If you want to cover your phone for accidental damage, you will need to take out optional cover for this. This will cover accidents like dropping your phone and smashing the screen.

It is important to note that there may be some limitations to standard contents insurance, and you may want to upgrade your policy to adequately cover your mobile phone. Many home contents insurance policies have a single-item limit, which means that unless you specify your phone as a high-risk item, your payout might be limited to between £500 and £1,000. The details differ depending on the provider, but if you have a valuable phone, it is worth checking the small print.

Fraudulent calls

If you have home insurance, your phone may already be covered as part of your contents insurance policy. Contents insurance policies typically cover your mobile phone when it's in your home, just like other personal belongings or valuables. This means that your phone will be covered for loss or damage in a fire, storm, flood, or theft. However, it is important to note that standard policies do not cover fraudulent calls made from your phone.

While home insurance can provide some coverage for your phone, there are limitations. Many home contents insurance policies have a single-item limit, which means that unless you specify your phone as a high-risk item, your payout might be limited to between £500 and £2,500. Additionally, accidental loss or damage to your phone is usually not covered under standard contents insurance, and you would need to take out optional cover for this.

To ensure your phone is adequately protected, you may want to consider adding all-risk personal possessions cover to your home insurance policy. This will provide coverage for your phone outside of your home, including accidental loss or damage. Alternatively, you could consider purchasing separate mobile phone insurance, which can cost as little as a few pounds a month.

When it comes to fraudulent calls, it is important to be vigilant as scammers may pose as insurance agents or representatives to steal personal and financial information. They may attempt to sell you fake insurance policies or request payment for fees or services. Be cautious of unsolicited calls, and never give out sensitive information such as social security numbers, credit card numbers, or bank account information. If you receive a suspicious call, hang up and contact your insurance company directly to verify the information.

• Be wary of calls, texts, or emails that create a sense of fear or urgency. Scammers often use tactics that prey on your emotions to get you to make impulsive decisions.
• Don't answer calls or respond to messages from unknown numbers. If you don't recognize the number, let it go to voicemail or ignore it.
• Be cautious of links or attachments in messages. Fraudulent messages may contain links or attachments that, when clicked, can install malware on your device and steal your personal information.
• Keep your software and operating systems up to date. Regular updates ensure that you have the latest security patches to protect against known threats.
• Use multi-factor authentication for your accounts. This adds an extra layer of security, making it harder for scammers to access your information.

Unauthorised calls and downloads

Mobile phones are increasingly becoming more sophisticated and essential in our daily lives. With some phones worth close to £2,000, it is important to protect them from loss, theft, or damage. While contents insurance policies will cover your mobile phone when it's in your home, you may need to add worldwide accidental loss of or damage cover (also known as 'all risks insurance') to cover your phone outside your home.

In the event that your phone is lost or stolen, it is important to report it to your network provider and the police as soon as possible. If you don't report it immediately, you might have to pay for any unauthorised phone calls, which can be very expensive. Some phone networks will only charge you a maximum of £100 if your phone is lost or stolen, as long as you report it within 24 hours. If your phone is insured, you might be covered for the cost of unauthorised calls made between the time you lost your phone and reported it missing. Check with your insurance provider to see if you're covered for unauthorised calls and downloads.

If your phone is damaged, your insurer will likely send your phone to an authorised repairer. If they can repair your mobile, it will be returned to you in full working order. If not, they will likely replace it with a 'like-for-like' model, meaning they will source the closest replacement to the model you had before it was damaged.

Water damage

If a weather system causes wind and heavy rain that damages your roof, your homeowner's insurance policy may cover the resulting water damage. If water leaks or pools after a pipe bursts, dwelling coverage would pay for home repairs like fixing your floors and walls. Personal property coverage would also cover damaged belongings, such as furniture or decorations that got wet and damaged.

If your homeowner's insurance covers water damage that results in mould, it may also cover mould removal. Mould and mildew can develop as quickly as 24 to 48 hours after damage, so your policy may cover removal if your pipes burst and mould begins to form in your basement.

Appliance malfunctions, such as a broken water heater or washing machine hose, are also typically covered by insurance. Your policy may cover home repairs and replacement costs of damaged belongings. However, your policy might not cover the repair of the broken appliance, which means you would have to pay out of pocket unless the item is covered by warranty.

An ice dam occurs when ice becomes a barrier on your roof and prevents water from properly running off. When water pools on a roof, it can cause damage to shingles and roof leaks, which may be covered by your homeowner's insurance.

The most common insurance exclusion is water damage from exterior flooding. Coverage for flood damage is not included in a standard homeowner's insurance policy. Instead, you need to purchase separate flood insurance protection. If you live in a high-risk area, a flood insurance policy may be required, and you can get coverage through the National Flood Insurance Program (NFIP) or private insurers.

Most standard home insurance policies do not automatically include coverage for water damage caused by sump pump failures or sewer backups. However, you can purchase water backup coverage as an additional policy endorsement to cover damage if a clog or backup causes your home to flood.

Another situation in which insurance might not cover water damage is if a homeowner isn't properly maintaining their property. For example, if you experience water damage due to a roof leak but haven't replaced your roof despite it being overdue, your insurance company may not extend coverage.

Tips for preventing water damage in your home

• Inspect your house regularly for missing shingles and broken window seals, and schedule repairs when necessary.
• Check your gutters and remove any clogs and debris to ensure proper water drainage.
• Waterproof your basement by sealing cracks to prevent water seepage during heavy rain.
• Perform routine maintenance on appliances, like your water heater, to get ahead of potential leaks.
• Keep valuables stored in areas less susceptible to water intrusion, such as shelves in basements.
• Learn how to shut off your main water source in case of a leak to minimise damage.

How to file a water damage claim

• Contact your insurer by calling their insurance claim line or filing a claim online.
• Stop the water flow by shutting off the water valve or contacting a plumber to minimise damage.
• Log the damage, including damage to your dwelling and personal belongings, and compile receipts and purchase information for damaged items.
• Take pictures and videos to provide proof of the damage and back up your statements in your claim.
• Follow up with the claims adjuster, who may ask for additional information to process your claim. Once your claim is approved, your provider will subtract your deductible from the payout, and you'll receive the remaining funds to cover repairs.

Frequently asked questions