Home insurance quotes vary by €400

Cash-strapped homeowners can make savings of nearly €400 in home insurance by shopping around.

The National Consumer Agency’s latest home insurance product comparison survey reviewed a range of property types and found that, across all the profiles surveyed, consumers could make significant savings by shopping around. The study also reviewed the level of excesses attached to policies and examined the restrictions on contents insurance.

In all, seven profiles were surveyed across nine insurance providers. The average potential savings across all seven profiles was €382.

The biggest difference in quotes provided was in Cork for a three-bedroom terraced house where the highest quote was €864, or 305%, more expensive than the lowest quote.

The smallest difference was in Longford for a two-bed bungalow. In this case, the most expensive quote was €78, or 39%, higher than the cheapest quote.

One profile in the survey reviewed the quotes for a property liable to flood damage. Four of the nine providers would not provide a quote in this situation. One insurer provided a quote that does not include flood cover and another provided flood cover subject to further assessment.

Chief executive of the NCA Ann Fitzgerald advised those affected to log onto their website to get information on making a claim. “When their home insurance next comes up for renewal, they will find lots of information on nca.ie to help them compare costs, benefits and discounts from different providers.”

Ms Fitzgerald said the survey showed the real financial advantages of shopping around for insurance.

“It is relatively easy to get a number of quotes quickly, either online, by telephone or through a broker, and we would urge all consumers to do this and take advantage of the competition which exists in the market and any potential savings that are available.”

The survey also examined the level of excess applied to each quote across the seven profiles. The excess is the amount that consumers will have to pay on any claim before the insurer pays the balance.

The study found that the difference in the excess that applied on policies ranged from €125 to €500. A lower quote did not mean higher excesses. In six of the seven profiles, the lowest quotes were for policies that did not have the highest excesses in the survey.