Abbey Insurance: Brits hoarding cash at home

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Abbey Insurance: Brits hoarding cash at home

Mon 8th Dec 2008

Abbey Insurance has released the results of a survey which show that Brits are storing a total of around £5.4 billion in cash in their homes.

According to the insurer, fears that some banks might go under because of the credit crunch mean that 4.6 million Brits have built up cash deposits, with an average value of £729.

However, Abbey Insurance warned that many home insurance policies do not cover large amounts of cash stored in houses and with domestic burglaries likely to rise due to the onset of recession, hoarding money at home may not be the safest option.

Tony Beckwith, chief operating officer at Abbey Insurance said: "Most insurers will only cover the first £500, sometimes less, should it be stolen or destroyed in an accident."

He added: "You're not going to earn interest on cash stuffed under the mattress."

Last month, Abbey Home Insurance issued a warning to people not to cut back on their household contents insurance because domestic break-ins, often driven by poverty, are more common during a recession.

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