Holiday Gift Insurance Reminder

Mutual and Federal Insurance warns people to insure their holiday gifts Many people don't insure their expensive gifts until it's to late.

The holiday seasons have come and gone, and with it comes the act of exchanging gifts.

If you are lucky enough, you will have received expensive gifts, perhaps electronics, jewels or designer clothes.

Unfortunately, many people don't think of including these new items in their household insurance policies - until it's too late.

"Gifts such as jewellery, electronic gadgets and fashion accessories should be itemised and insured as soon as they are unwrapped," said the general manager for Business Development and Sales at Mutual and Federal, Samantha Boyd.

"In reality, though, people are so excited about their acquisitions that they simply start enjoying them without thinking about the consequences of losing them."

She said that as soon as an item is removed from the home, it is no longer insured in terms of household contents cover.

An example would be a cell phone which needs to be insured under the All-Risks section of an insurance policy for it to be covered.

Another tricky area is jewellery.

"A wedding ring valued at R10,000 today could fetch a far higher price in ten years time, but you won't be able to replace it if you have not correctly assessed and stated its value," she said.

Caution is also advised at all times, according to Boyd.

"Many shoppers leave presents and expensive electronic items out in plain sight in cars when shopping," she said. "Take a moment to hid them, lock them in your boot, or better yet, don't bring them out at all."