Students 'must not assume they are covered by parents' home insurance'

It is important for students to avoid assuming they are covered by their parents' home insurance policies.

Student account holders must not make the mistake of assuming their possessions are covered by their parents' home insurance policies.

That is the warning issued by Mike Powell, insight analyst for general insurance at Defaqto, who has urged scholars heading off to university before the 2011-12 academic year to look into whether or not they are automatically protected.

Research conducted by the organisation established that while 85 per cent of contents and buildings insurance packages do include cover for student belongings, the other 15 per cent do not.

Therefore, assuming they are protected could prove costly to scholars should their possessions be lost, stolen or damaged.

"As always, the devil is in the detail - so students and parents need to check what - if any - cover their family home insurance will provide," Mr Powell noted.

These comments echo the sentiments of Annie Shaw from Cash Questions, who recently urged all attendees of universities to seriously consider signing up for insurance sooner rather than later.

By Emma North