Insurers have issued an urgent warning as people follow a 'life hack' being shared on social media platforms
An insurer is warning savers about the risks of a budgeting trend known as “cash stuffing”. Admiral has been seeing a rise in claims involving cash, including claims where significant amounts of cash kept in envelopes have been stolen during break-ins.
It said that one customer who was using the cash stuffing hack had envelopes containing £1,700 stolen. Admiral said that, in that case, the claim was covered. Noel Summerfield, head of household insurance at Admiral said: “Allocating different spending pots can be an effective way of budgeting and staying on top of spending, especially ahead of the Christmas period, which can be an expensive time.
“Many insurance policies do not cover theft of cash from your property unless force or violence was used to enter or leave your home. Whilst cash is covered in the event of fire or flood, theft from gardens or outbuildings may not be covered. In addition, most insurance companies have a limit to the amount of cash that is covered, and this often varies depending on the different policies they offer.
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