Industry News from Yes Insurance

Households living with a low wage income are the ones least likely to take out a home insurance policy – even though they need it the most, it has been claimed.

According to the Association of British Insurers (ABI), 35 per cent of Britain’s poorest homes have no choice but to skip a cover plan.

This means that they often go unprotected against problems like flooding, a fire or burglary – something more likely to affect 71 per cent of people with an income less than £5,000 per annum.

ABI director general Stephen Haddrill commented that this discrepancy needs to be fixed.

He said: "The poor are least able to deal with financial loss and depend most on insurance. We need to address the issue of low take-up in low-income groups."

This comes as brokerage Caunce O'Hara has stated that an increasing number of people working from home could see them risk financial ruin in the event of a break-in or a fire.

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