Alastair Meiklejon, Senior Valuer
Back to Life, Back to Reality… Time to Review Home Security and Update Insurance Valuations?
Not something I thought I would ever write about, but this week I went to my summer house and caught a glimpse of the fantastic, top of the range Peloton exercise bike that I thought would be a great investment during the first lockdown. My justification was completely sound; “who knows how long this will last, if we can’t go outside then how am I going to get any exercise?” and so it arrived and it was coveted, admired and used extensively for the entire first three weeks of lockdown!
However, and possibly along with the rest of the country I then realised that I was maybe not going to see anyone for a while…was it going to be three months, a year? If this was the case, then why was I worried about my appearance! It was around this time it was also considered universally acceptable to maybe have a glass of wine around 3pm…. So, the lovely Peloton bike was now a rather expensive ugly ornament.
Many people during lockdown have made home improvements, refurbished rooms, purchased new items or even gone so far as to build the office or gym in the garden! Online shopping positively boomed during lockdown.
• In 2020 Global sales of art and antiques reached an estimated $50.1billion, and although the figure is down 22% on 2019, it is still above the 2009 recession low, when sales fell by 36% to $39.5 billion.
• Online Sales proved the big winner in 2020 as, despite overall sales dropping, online sales reached a record high of $12.4 billion, doubling in value from 2019 and increasing from 9% of total sales by value in 2019 to 25% in 2020 – the first time e-commerce sales exceeded that of general retail
• 90% of HNW collectors visited an Art Fair or Gallery Online Viewing Room in 2020
As for us, we were on first name terms with our local DPD driver who was bringing items from John Lewis pretty much on a daily basis, and whilst I had never even looked at a KitchenAid mixer before, I now knew it was my destiny to own one and it would somehow make this lockdown better. The similar fuzzy logic that was applied to the purchase of the Peloton bike.
So fast forward to today…
We are all gradually getting back to some form of normality, and as we all leave the house for longer periods of time and some of us return to our workplaces, we should not neglect home security. We need to remember to be vigilant and always think about ‘what the window cleaner can see!’
In some areas, burglary was reduced by up to 60% during the first lockdown (Source BBC) and whilst we could only hope that those figures will remain, the unfortunate fact remains that with increasing unemployment, they probably won’t.
• Lockdown and Covid means that Valuations are more than ever needed
• Overall sales figures might be down, but prices are not
• Valuations are still vital if a client wishes to be fully covered
So are the figures that you or your client have for home contents accurate, or do they need an up-to-date valuation? Is it time to review assets? To ensure home contents and valuables are correctly valued, so that you are protected and fully covered in the event of a claim?
We think so…