Comprehensive Insurance Cover is Best Option

As the credit crunch forces people to cut back on spending, some Brits have decided to change their insurance policies so they cost less, but do not provide the most comprehensive cover.

"Consumers who have comprehensive insurance can avoid having to pay a hefty bill", it has been suggested.

Many people take "huge gambles" when they do not consider the benefits of policy add-ons, according to leading insurance provider, Be Wiser Insurance.

"One way people do this is by increasing their excess to bring the price of their premium down", a spokesperson said.

However, this can be a bad decision in the long-term as "people do have claims".

"They might be able to afford the first hundred pounds for an accident, but can they afford the first five hundred pounds?" he commented. "It is a concern that people are reducing their personal lines spending."

Areas where these reductions could take place include homes – such as buildings and contents – vehicles and pets.

By skimping out on important add ons and fully comprehensive cover, people are potentially putting themselves at greater risk if the unexpected was to happen.

"If you're bathroom collapsed in, you pet fell ill or your home PC was damaged you may have to fork out hundreds, even thousands of pounds in bills - this isn't a great idea, especially if you can fully cover all of those incidents by paying a little extra each month.

Be Wiser have advised those trying to decide how best to spend their money on their cover to speak to their insurer and work out what kind of cover you need, and at what price.