77% of renters not protected with home contents insurance

New research* from InsurTech disruptor Urban Jungle shows more than three in four renters do not protect their possessions with contents insurance. This leaves prized and valued belongings vulnerable to burglary, accidental damage, or other major incidents. 19% of renters don’t think they need insurance even though their possessions may be worth thousands of pounds.

Of those that weren’t insured, additional findings include:

30% think they wouldn’t be able to afford contents insurance
34% are not currently saving for anything, meaning that one in three have no safety net if something goes wrong

The research reveals a massive gap in the market as current insurers fail to meet the needs of Generation Rent. Urban Jungle’s customer base has doubled in just six months to 15,000, proving that its technology, transparent monthly pricing and flexible online model is challenging the status quo.

The company is challenging the inefficient legacy technology of traditional large insurance providers. It has built its platform from the ground-up with renters in mind. This has put Urban Jungle ahead of the competition who are struggling to keep up with the pace and scale of change needed in the industry.

Urban Jungle understands that part of the reason renters are hesitant to take out contents insurance is the complex and jargon-filled terminology used by many providers. Working with underwriters, Urban Jungle has removed a lot of unnecessary questions and jargon to improve transparency and trust.

Renters are also put off by a lack of appropriate products. Urban Jungle’s pay-as-you-go policy provides cover from just £5 per month. It breaks down key cover options giving customers more choice. Upgrades are easily added as they are needed. Moreover, Urban Jungle’s policies are very competitive. According to recent research by the ABI, the average contents insurance premium is £127 a year**, more than twice the annual cost of Urban Jungle’s standard cover.

Jimmy Williams, CEO, Urban Jungle, commented: “Renters are really under-served when it comes to insurance. Even though millions of people rent and live with friends, many feel that a home insurance product that can meet their needs doesn’t exist. It’s true that most home insurers won’t cover bigger groups of housemates. They’ll most likely charge you extra for being a renter, too.”

“We’re focused on making insurance much more relevant to people’s needs and to better serve the new generation of renters. Our products are designed to reflect a renter’s approach to contents insurance. Our research showed that cost, time and terminology are key determining factors for individuals not taking out cover to protect themselves should the worst happen. Urban Jungle is changing this for the better, making insurance much more accessible for all.”

*Survey carried out with 1,000 UK renters by Dalia on behalf of Urban Jungle in January 2019.

**https://www.abi.org.uk/news/news-articles/2019/01/cost-of-home-contents-insurance-falls-to-a-record-low-yet-one-in-four-uk-households-are-uninsured/