Goods as new.

More and more insurers are opting to replace household goods rather than make a cash settlement. This benefits both the client and the insurer, says Steve Banner.

The practice of replacing lost, stolen, or destroyed goods rather
than paying out cash has two happy consequences for personal lines
insurers.


Firstly, it deters fraud - why sell your microwave oven then claim it has
been pinched, if all you get is another one rather than the money?


Secondly, it means insurance companies can use their bulk purchasing
muscle to good effect. "It saves us money, and helps hold down premiums,"
says Tony Griggs, manager, customer service development, at Guardian.


Althoug