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Subject: Re: travel insurance rtw 12 months Posted on: Thu, 14 Oct 2004 21:17:45 ADT

in article 3o1um0h41t9o6esvfb5tojkv33rde2773k@4ax.com, Tom Hatfield at
tomhatfield@... wrote on 10/14/04 8:10 PM:

> On Thu, 14 Oct 2004 19:17:23 +0000, chelseablue
> wrote:
>
>>
>> hi, im looking for insurance for round the world travel, but i cant find
>> anything with valuables over £250 for each single item, which is a
>> problem cos me and the wife are taking our laptop , digital camera and
>> camcorder.
>
> Check with your homeowners policy, most of these items would be
> covered by that policy, and should cover loss/theft even if not in
> your home. You might have to have them scheduled in your policy, make
> sure you have all the details of purchase date, serial number and
> price paid.
>
> Tom Hatfield

Sometimes there are geographic limits (e.g. while in Europe, N.Am., etc.) -
check your policy carefully! Also check whether it is for replacement or
cash value since the things you are talking about depreciate faster than the
proverbial hellbound snowball.

Personally, I believe insurance is for catastrophic loss - something that
will bankrupt you if it happens. If someone nicks your camera (this has
happened to me, at gunpoint) will it be the end of your financial world -
ignoring the fact you will need police reports, possibly paid for,
translated, and with an excess and a loss rating on your future policies?

If not, consider this: insurance is, in essence, you betting something bad
will happen. Experts with centuries of aggregate experience, are betting it
won't, and risk-weight the distributed chances of being wrong in that
regard. Who is more likely to be correct?

Or, to put it another way. Suppose your car company offers you a GBP 50
lower premium for increasing your excess from 100 to 250. By not taking it,
you are saying there is a 33% chance (50/150) that you will have a loss of
greater than 150 pounds (100 + 50 savings) in the next policy period. No?

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