The study, by independent research company Defaqto, reveals that 90% of home insurance policies automatically increase to provide cover for extra home contents over Christmas.
The increase either covers a specific amount ranging between ?¨o1,000 and ?¨o25,000, or a percentage increase which ranges between 5% and 25%.
Mike Powell, General Insurance Analyst at Defaqto’s, said: “Many home contents insurers have responded to their customers’ needs by increasing coverage limits for specific events or religious occasions.
“This caters for the increase in the overall value of the property’s contents in the form of potentially expensive presents or gifts and helps protect people from the possibility of being underinsured.”
But Mr Powell emphasised that homeowners should check their insurance policies before relying on the increase, as the cover varies with different insurance companies.
Defaqto has also warned homeowners to check their home insurance covered cash, as a recent study by the company revealed that over a quarter of households aren’t covered if more than ?¨o500 is stolen.