West Craven

The latest news from West Craven

Welcome to our October Newsletter from West Craven Insurance. This month we provide some helpful advice to keep you updated with the latest industry changes.

First up we look into why you should be considering cyber insurance as elderly people were the main victims of cybercrime last year. We then look into the effects of water damage as we enter the winter months and what your insurance covers. Elsewhere in our newsletter we share how your lifestyle changes could lead to new insurance products and finally all you need to know before booking time away.

We hope you enjoy this months edition!

Lifestyle changes lead to demand for new insurance products

Consumer behaviour has changed irrevocably over lockdown, with increased online activity and media consumption a key driver in the way we’re now purchasing products and services.

Despite the impact COVID-19 has had on the country’s employment and economic stability, internet sales show no signs of slowing down, accounting for 28.1% of retail sales in July – an incredible seven percentage points higher than the 2019 peak of 21.5% in November.*

Experts believe that dramatic changes to spending habits and lifestyles will give rise to a demand for new insurance products across the UK.

Retail purchases for at-home entertainment has shown particular growth this year, with more people obtaining new equipment or gaming technology to create effective office spaces or to satisfy their need for indoor leisure activities.

Yet by increasing the value of your home or its contents, many policyholders are putting themselves at an unknown risk by failing to update their providers and policies on high-value additions to the house.

We have invested £55 billion as a nation on DIY projects around the living room, bedroom and kitchen since March – with gardens the most popular renovation project over summer.

On average, this means UK homeowners have put £4,035 into making their property more accommodating for an extended lockdown homestay.

As it stands, the majority of Brits will have found that it was not a requirement to contact their insurer about working from home back in March, as this was an allowance by the Association of British Insurers.

In effect until 31st October 2020, policyholders who are set to continue working out of the office from this point are being encouraged to check in with their insurer regarding cover for the remainder of the year.

Meanwhile, with the outbreak having an impact on driving behaviours, car purchase patterns and road usage, many policyholders are now in a position where they could see savings on their personal or fleet vehicle policies.

If your circumstances have changed – whether in relation to your employment, personal financial conditions or commercial requirements as a business owner – we urge you to contact our brokers directly to ensure you’re protected against future losses.

*Source: Office for National Statistics

What you need to know before booking time away

The government’s back and forth decisions on which countries make it onto the quarantine exemption list have left many Brits unsure where and when they can go abroad for some much-needed rest and relaxation.

One in five have cancelled trips this year due to quarantine restrictions being imposed on their destination after having already booked, with only 9% hoping to make it anywhere in 2020.

Should you be considering booking some time away, we’ve prepared a few questions that you need to clear up before investing time and money planning your next vacation.

Can I get money back or do I have to accept credit?

In the situation where your airline cancels the flight or your package holiday is cancelled, you are legally entitled to a full refund.

This means you don’t have to accept a voucher or credit note, and you certainly don’t have to feel pressured into rebooking before you’re ready to commit again.

Should I expect the airline to issue a refund?

If your flight is cancelled, it is on the airline to process your refund.

You have at least 12 months in which to make a claim.

So, if it’s taking a little longer than usual due to higher demand, be aware that you also have the option to try to claim through your debit or credit card provider, or where used, PayPal.

What happens if the airline doesn’t cancel my flight, can I still claim a refund?

If your airline does not cancel the flight – even with the FCO warning against travel – it is unlikely you will receive a refund, so you will need to request to rebook for a later date for free.

What about a refund for my accommodation?

For hotel bookings, you are due a full refund where the hotel has closed.

This should also apply where the hotel is open, but government restrictions prevent your from getting to your accommodation.

Whilst bookings through Airbnb and Booking.com have had their cancellation fees waived for those unable to go away because of the outbreak.

Before you travel, make sure that you understand your rights and responsibilities.

If you have any uncertainties or concerns about your holiday cover, refer to GOV.UK for the latest information.

UK elderly people were main victims of cybercrime last year

In the financial year of 2018-2019, cyber criminals embezzled over £4m from the older generations – revealed by the charity, Age UK.

A freedom of Information (FOI) request showed that the police received around 4,173 reports of cybercrime from adults aged over 55 during April 2018 to March 2019. Over £4m was lost from those who sadly fell victim to online fraudulent activity.

Some prominent examples of these crimes include investment fraud, identity theft, fraudulent adverts, blackmail and phishing.

Disturbingly, there are no signs of it stopping either.

The FOI revealed that this age group have been massively targeted by COVID-19 related frauds. Of the 3,162 cases of COVID-related reports, 701 of them involved victims aged over 55. The total losses have totalled to £2.4 million in the past four months.

It seems that the most popular form of COVID scams included the option to buy fake PPE equipment and phishing texts claiming to be from the government and other health bodies.

Age UK reported that cyber criminals have taken full advantage of the fact that older generations have had to rely on the internet throughout lockdown. For many, lockdown was the first time they had used the internet, making them already vulnerable.

Caroline Abrahams, charity director at Age UK, commented: “During lockdown, the majority of us relied on the internet to stay connected and we know that some older people were also encouraged to go online for the first time. That is hopefully something they have enjoyed and benefited from and will want to continue now lockdown is being eased. However, unfortunately we also know that cyber criminals were very active in exploiting the situation, seeking to con older people out of their hard-earned cash.

“Online crime is often highly sophisticated and tough to spot so anyone can be taken in, but if you are new to the internet and learned to use it in a rush, with little support, you are potentially more vulnerable to being caught out.”

Make sure you and your loved ones are fully protected from these potential events happening. If you’d like more information surrounding cyber crimes and cyber cover, get in touch.

Does my insurance cover water damage?

Water can cause serious damage to properties in any season but it’s especially common during winter months.

Uninsulated water pipes can freeze and potentially burst, sometimes meaning that ice dams form on roofs. Whilst worst case scenarios would include thawed snow entering the basement, causing flooding and a costly price tag to match.

A common question asked is whether your insurance will cover water damage.

Usually, water damage to your home will be covered as a standard feature to your property’s insurance policy. Pipes bursting, leaking dishwashers or an overflowing bath are referred to as an escape of water, and this is different to flooding.

Flooding is the term insurers use when describing water that comes into your home from an external source. For example, an overflowing river or burst mains on your road.

Escape of water is one of the most common types of property damage claims. It is averaged that insurers pay out £1.8 million every day.

If a claim needs to be made, your insurer may cover the cost of locating, accessing and repairing the leak as well as any additional cost of water damage restoration.

Do be sure to check if your policy covers ‘trace and access’ cover, or ‘home emergency’ as these aren’t always standard. If you have contents insurances, you should be covered for any damaged belongings that have been ruined because of escape of water.

If you have ‘accidental damage cover’, then you will most likely be covered for things like overflowing baths or drilling into pipes.

If you have water damage from property neglect or preventable damage, then it is likely you will not be covered. The best way to avoid this is by taking care of your pipes all year round, fixing any immediate leaks and protecting them in harsh weathers.

Ways to maintain your pipes all year round –

Get to know your stopcocks. Knowing where they are means you can regularly test them, so they don’t seize up. If there is an escape of water or a leak, turning off your stopcock asap can help reduce the level of damage caused.
Consider fitting a leak detection device. This will monitor your water use and turn off your water if it suspects a leak. A plumber should fit this professionally.
Check your pipes. Regularly check for looseness, leaks or drips as finding it early can prevent mass damage later down the line.
Clean your drains regularly. Substances such as oils and fat from cooking can cause drain clogs. Do not flush baby wipes, sanitary products or cotton wool pads as this will also cause a blockage.
Don’t drill until you are sure! Make sure you know where your water pipes are when doing DIY around the house. You can get a stud finder to locate them.

Get a quote today

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