Contents Insurance

How much does contents insurance cost?

As a general guideline, you should budget approximately CI$500 for every CI$35,000 of contents coverage. Premiums may vary depending on the insurer, deductible and risk factors such as location and property type.

If you are renting a property, your landlord’s insurance may cover items and appliances provided with the unit. However, your personal belongings are not covered and must be insured under your own contents insurance policy.

Though theft rates in Cayman have increased slightly in recent years, they remain relatively low compared to many jurisdictions. That said, due to the ongoing risk of flooding and hurricane damage, contents insurance is strongly recommended.

Listing and valuing your possessions

Insurance companies suggest making a detailed inventory of your household contents and personal possessions, including:

• a description of each item
• serial numbers (where relevant)
• current replacement cost

Taking photographs of valuable items and their serial number labels, and keeping them on secured cloud storage is highly recommended. Records of these details can significantly speed up claims in the event of loss or damage. You should then review your insured items list every year to update the value and add new purchases. This helps to ensure your coverage remains accurate and adequate.

The risk of under-insuring contents

The consequences of under-insuring your contents are simple: if your belongings are worth CI$20,000 but you only insure them for CI$10,000, and you suffer a loss of CI$5,000, you will only be reimbursed CI$2,500 (minus any deductibles). This is known as the condition of average, and it applies in the Cayman Islands as well as many other jurisdictions.

Under-insurance is also applicable to your home insurance. Ensure your property rebuild valuation is current and the sums insured are accurate, especially with current construction costs being so high.

Contents insurance for strata properties

If you own property that is part of a strata complex, you will need to examine the policy to determine where the coverage begins and ends. Some features, such as kitchen cabinets or appliances may or may not be covered by the strata’s building insurance. If they are not, you will have to insure these items yourself under a contents policy.

Contents Insurance Providers

The following contents insurance providers in the Cayman Islands are highly recommended.