Own a wine fridge? Then you’re wealthy and probably underinsured

26th February 2016


Have you got a vinyl collection, a playroom, or under-floor heating? Then you’re officially mid-net-worth.


Research by insurer LV= has found a doubling of household income over the past two decades has created a multitude of ‘mass affluent’ homeowners but many of them still do not consider themselves wealthy.


A total of 3.5 million households are now considered mid-net-worth but 79% of mass affluent households do not take out appropriate insurance despite having above-average household income and a range of luxury items in their homes.


This means around 2.7 million households are underinsured and one in 10 adults admit to underestimating the value of their items to reduce their premium.


But how do you tell if you’re mid-net-worth or not? It all depends on the items you own.


These premium items are owned by 10% or more of mid-net-worth households:


1. Home office (37%)

2. Vinyl collections (18%)

3. Limited edition art (18%)

4. A kids play room (13%)

5. Music delivery system, e.g. Sonos  (13%)

6. Under-floor heating (13%)

7. Nutrient extractor, e.g. Nutri-Bullet (12%)

8. Wine fridge (12%)

9. Walk in wardrobe (11%)

10. Farrow & Ball paint (10%)

11. AGA or Rangemaster (10%)


The research also identified the items mid-net-worth households aspire to own.


1. Grand Piano (43%)

2. Games room (33%)

3. Walk in wardrobe (33%)

4. Under-floor heating (30%)

5. AGA / range cooker (28%)

6. Limited edition art (25%)

7. A wet room (24%)

8. Pizza oven (24%)

9. 3D projector (24%)

10. Rainforest shower (23%)


Selwyn Fernandes, managing director of LV= Home Insurance, said: ‘An increase in disposable incomes has seen many people fill their homes with luxury goods but because they don’t consider themselves ‘mid-net-worth’ it, many people haven’t upgraded their contents cover at the same time.

‘It’s important your policy limits reflect what you own. Admittedly, it’s never top of people’s to do lists but it’s worth reviewing your policy at least once every three years to ensure its kept pace with your lifestyle and your possessions.’



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