Families desperately trying to slash their energy bills this winter are being cautioned that certain cost-cutting measures could potentially void their insurance coverage.
Completely turning off the heating, failing to maintain a minimum indoor temperature, or skipping boiler servicing could be actions that risk invalidating home insurance – leaving households to face expensive repairs should something go awry, according to financial information firm Defaqto.
Angela Pilley, a home insurance specialist at Defaqto, explained: “Persistently high winter fuel costs are forcing many people to make tough choices about their household budgets. But a short-term saving, like turning your heating off, can quickly become a costly mistake if pipes freeze then burst and cause serious water damage.”
Ms Pilley revealed that certain insurers have strengthened their conditions surrounding “escape of water” claims throughout the colder months, specifically demanding homeowners maintain their heating above a particular minimum temperature.
She explained: “Some insurance policies now require minimum heating levels to be maintained if you are away for only a few days and some even when the property remains occupied. If a pipe bursts because the temperature wasn’t maintained, you may find you’re not covered.”
Defaqto examined standard boiler and home emergency insurance products alongside home buildings insurance products across the UK market in October. The research revealed that 82% of boiler and home emergency insurance policies demand evidence of a boiler service, either within a specified timeframe – typically 12 to 36 months – or according to the manufacturer’s maintenance requirements.
Furthermore, more than a third (35%) of policies refuse to cover boilers past a certain age, such as 10 or 15 years, with a minority restricting coverage to boilers under nine years old.
Ms Pilley explained: “If you’re considering taking out boiler cover this winter, it’s worth noting that 83% of products include an exclusion period at the start of the policy meaning you can’t make a claim if something goes wrong during that time.”
She noted the most typical exclusion period was 14 days, though some were as brief as 24 hours or as lengthy as 90 days.
Over half (57%) of policies will contribute towards a replacement boiler if the current one fails beyond repair, Defaqto revealed.
Contributions were discovered to range from £250 up to £2,500, or even the complete cost of a new boiler when supplied through the insurer’s own provider.
Usually, the policy must have been active for a minimum period, but many products require 30 days or less, Defaqto stated.
Terms and conditions of policies will differ, so people should examine them thoroughly, Ms Pilley advised.
She continued: “A few simple precautions such as maintaining your heating and servicing your boiler will make all the difference in keeping your cover valid and protecting your home through winter.”
Louise Clark, manager of general insurance policy at the Association of British Insurers (ABI), said: “As the cold snap bites and temperatures tumble, a few simple precautions can help you avoid the disruption and distress of frozen or burst pipes this winter. Insurers are ready to help if the worst happens, but prevention is always better than cure.
“Using anti-frost settings on smart thermostats, keeping your heating on a timer or on at a certain level, can help to prevent burst pipes.
“And if your home will be unoccupied for some time, be sure to inform your insurer, and consider setting your heating on a timer or turning off the water to reduce the risk of pipes freezing and bursting. Don’t forget to take a moment to read your insurance policy’s terms and conditions so you know exactly what you’re covered for.”
Below are recommendations from Defaqto to sidestep expensive emergency callout and maintenance charges:
1. Always examine the terms and conditions of your insurance policies.
For boiler and home emergency cover watch out for boiler servicing requirements, age limits and upper limits on power output.
2. If you intend to leave your property vacant then verify whether your home insurance demands you to maintain your heating at a minimum temperature whilst you are absent.
Even if this isn’t mandatory, implementing this measure could still minimise the risk of pipes freezing and bursting. 3.
For those with a smart thermostat, many come equipped with an anti-frost setting that maintains a minimal temperature in your home to prevent pipes from freezing.
4. If you don’t have a smart thermostat, most radiators feature a snowflake symbol setting which allows minimal water flow between pipes and radiators to avoid freezing.
This can also be utilised if you wish to heat specific rooms only.
5. If you’re planning to be away, consider programming your heating on a timer.
6. When replacing the boiler, ensure to verify whether your current boiler or home emergency policy covers it.
7. If your boiler is a recent purchase, it’s worth checking what cover the manufacturer provides as standard under the warranty and looking out for any exclusions.
