A study by the price comparison site found that more than nine in 10 (94%) home insurance claimants received most or all of their claim.
Water damage and accidental damage were the most common reasons to submit a home insurance claim, with 94% of homeowners glad they had a home insurance policy after making a claim.
Why are claims turned down?
Nearly two-thirds (63%) of claimants received the full payment requested from their insurer. The main reason (at 24% of cases) for claims being turned down was homeowners not realising their policy did not include certain policy features, such as accidental damage or personal possessions cover.
Other reasons included special conditions relating to the policy (20%), not taking reasonable care (19%), and failing to pay policy instalments on time (18%). Additionally, 16% did not follow the claims process correctly or were unaware of policy exclusions.
Only 6% of those questioned reported receiving partial payment or none at all. Homeowners aged 55 and up were nearly twice as likely (73%) to receive full payment compared to those aged 18-24, of whom only 41% received the entirety of their claim.
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How much are claims worth?
Only 14% of homeowners said their recent claim was less than £1,000, followed by 31% of people who claimed for between £1,000 and £3,000. One in 10 people (11%) claimed more than £8,000.
The primary reason for claiming on home insurance was water damage, accounting for 28% of all claims, followed closely by accidental damage (27%), repair costs (21%), flood or storm damage (18%), theft (12%), and fire or smoke damage (11%).
How to save money on home insurance
Before renewing their home insurance policies, nearly half (46%) of homeowners said they actively shop around for better deals, while 35% did so occasionally. Only 4% never compared other policy options before renewing.
Guy Anker, director at Compare the Market, said: “The rise in living costs means households are tightening their budgets and cutting back on unnecessary expenses. It is encouraging to see that homeowners are aware of the value that having a home insurance policy brings, saving many of them spending significant amounts of money on home repairs.
“You can choose to buy buildings insurance and contents insurance either together or separately. Whether you’re a homeowner or a renter, it’s important to shop around on your home insurance to check what deals are out there and find cover [that] works for you.”
