Motorists across the UK could face substantial financial losses if valuable possessions are stolen from their vehicles, according to a comprehensive investigation by consumer champion Which?. The analysis reveals that while car insurance typically covers the vehicle itself, protection for personal belongings is often inadequate or entirely excluded.
Significant Gaps in Personal Belongings Coverage
Which? examined 66 car insurance policies in November 2025 and found that most included some level of personal belongings coverage. However, the protection proved inconsistent and frequently insufficient for common high-value items that thieves typically target.
Alarmingly, none of the 55 policies that included personal belongings coverage provided protection for cash. The investigation revealed that 15% of policies excluded tablets, another 15% excluded laptops, and 16% excluded mobile phones. Even more concerning, 93% of policies did not cover credit cards, while 98% excluded important documents.
Modest Payout Limits Leave Drivers Vulnerable
Even when policies do include coverage for personal belongings, modest payout limits can still leave motorists facing significant financial shortfalls. Which? discovered that the most common claim limit was £300 or less, with some policies paying out less than £100 for stolen items.
"Our analysis found common high-value items are often excluded from policies, and even where protection is included, payout limits can be so low that drivers still face a significant shortfall," explained Reena Sewraz, a Which? Money expert.
Better Protection Through Home Insurance
The investigation identified that home insurance policies often provide superior protection for personal possessions stolen from vehicles. When Which? reviewed 78 contents policies in July 2025, virtually all (97%) offered coverage for personal possessions stolen from a car, typically through optional add-ons.
These home insurance policies generally provide broader coverage with significantly higher limits, often in the thousands rather than hundreds of pounds. Most covered mobile phones, laptops, and tablets, and many included cash coverage, albeit with lower limits than other possessions.
Industry Response and Recommendations
Fraser Lyall, general insurance policy adviser at the Association of British Insurers, acknowledged the importance of understanding policy details. "Motor insurance policies can differ in the features and benefits they offer, as people's needs vary," he stated. "Some policies may include limits or exclusions, so it's essential that motorists take the time to understand their cover and ensure it meets their needs."
Which? offers several crucial recommendations for motorists:
- Thoroughly review policy terms: Never assume coverage exists for personal belongings, as this is frequently excluded from cheaper policies.
- Understand coverage limitations: "Personal belongings" coverage may only apply to specific items and provide minimal compensation for their value.
- Explore alternative protection: Consider adding personal possessions coverage to home insurance policies or obtaining separate gadget insurance.
- Take reasonable precautions: Insurers may challenge claims if belongings were left in plain sight or vehicles were left unlocked.
The investigation highlights that while some insurers like Axa, Moja, Saga, and Swiftcover offer more than £1,000 for personal belongings coverage, most policies provide inadequate protection. With one in ten car insurance claims involving burglary or theft, according to Which?'s most recent survey, understanding these coverage gaps has never been more important for UK motorists.
