Tech top targets for thieves: electronics dominate young renters’ insurance claims

New data from State shows that electronic devices make up 63% of contents claims from young renters, with theft being the costliest cause.

In some burglary and theft cases, contents claims lodged by State customers aged 25 and under, exceeded $20,000.

State Executive General Manager Claims, Wayne Tippet, says: “We’re seeing young tenants claim for stolen laptop bags containing all their tech, handbags, wallets, and phones - all items that can be quickly swiped by thieves.

“Other common occurrences include items being stolen from inside tenants’ cars while parked at the gym or university car parks.”

Renters encouraged to take steps to protect prized possessions

State’s recent Renters campaign aims to support young tenants by raising awareness about the value of their belongings.

“While young renters often don’t have contents that fill every room in the house, the cost of replacing everyday items like a bed, laptop or shoes can add up quickly in today’s market,” adds Wayne Tippet.

“It’s better to insure our items once rather than buying them twice.”

Insights from State’s contents estimation tool, Tally, show that the average New Zealand home has around $14,212 worth of tech inside ^[1].

“One trend we’re seeing with young tenants’ claims is that they tend to have a decent amount of tech. This year, top claimed for items include phones, laptops and computers, electronic accessories, and clothes.

“Accidental damage is the most common reason for claims among young people, followed by burglary and theft, losing or misplacing belongings, and weather events.”

While the number of contents claims has remained steady over the past three years, the average claim cost surged by 67% last year.

“Not only is this indicative of the rising value of New Zealanders’ possessions, but it reflects the growing severity of loss events such as storms, fires, theft, and accidents.

“We all know that the cost to repair our prized items has increased, and this hits New Zealanders in the pocket too, especially for lower-income households. So it’s important to find ways to minimise the financial strain that these unexpected events can cause.

“We want young New Zealanders who are renting to know that their belongings are valuable and worth protecting - even if you don’t own the property or its furnishings,” says Wayne Tippet, who answers some frequently asked questions below.

State’s top five contents questions asked by renters:

I don’t own all the furniture and appliances in my flat, so do I even need insurance?

• If you own a laptop, mobile phone, headphones, bags or even furniture such as your bed, you will have to buy these twice if something were to happen to them. By insuring your items, you don’t have to bear the full cost of replacing these items should unexpected loss or damage occur.
• While we insure those big items, we also insure the smaller, everyday necessities too like linen, wallets, coats and shoes.
• Your contents sum insured is the total amount your belongings are covered for. This sum needs to include the combined value of your general contents, like your appliances, furniture and clothes, including GST. 
• You can set your sum insured by choosing which items you would like to insure and their replacement value. However, it is important to note that being underinsured risks your ability to replace everything you own, should those items be completely destroyed in an event such as fire or flood.

Will my contents be covered if they are stolen from inside my car?

• Yes - your contents insurance policy covers items in your home and items temporarily removed from your home. For example, if your car is broken into while you are at the gym and your mobile phone is stolen, your contents policy will cover this.

How does contents insurance work if I live with flatmates who own most of the furniture? 

• Your contents insurance will only cover your items and not your flatmate’s belongings.
• If you’re flatting, you only need to include the value of your own belongings, not things your flatmates own or your landlord has provided. You can set the sum insured contents calculator for only the rooms your things are in and include only the items you own.

If I buy something between this policy and my next renewal, like an iPad, will this be covered if I need to claim for it?

•  Items are automatically covered once you own them, if they aren't on the list of things we need to specify. Things like bicycles over $3,000, special artwork or jewellery are examples of items that you need to specify.
• If you make a big purchase, such as a $4,000 TV, it pays to check your sum insured is still sufficient to cover all your items should you lose everything.

What if I accidentally damage property I don’t own - will my contents insurance cover this?

• Your contents policy also offers liability cover. This cover is for situations where you cause accidental damage or loss to property you don’t own. For example, if your trolley runs away at the supermarket and hits a luxury car, the liability cover part of your contents insurance policy, would cover the cost to repair the damage to the car.
• If you accidentally damage the home you are renting, liability cover can also cover the cost to repair the damage. However, the current law states that the tenant is only liable for 4 weeks rent or the insurance excess, whichever is the lesser.

Top 10 contents claims of young renters ^[2]:

1. Phones
2. Laptop/computer
3. Electronic accessories
4. Clothing
5. Sporting and recreation equipment
6. Tools - commonly stored in the garage
7. Eyewear
8. Jewellery
9. Furniture
10. Bags

If you’re unsure about how much your stuff is worth, try using State’s Tally tool. You might be surprised at the total value when you add everything up: State Insurance NZ | Tally - Find out what your stuff's worth.

[1] Average based on the replacement costs of items for a three-bedroom home, supplied by Sum Insured Pty Ltd.

[2] Data retrieved from State domestic home and contents claims received between 1 January 2021 and 30 October 2024.