WEBVTT - How Much Insurance Do You Really Need? 0:00:02.720 --> 0:00:27.200 Bloomberg Audio Studios, Podcasts, Radio News. 0:00:28.000 --> 0:00:30.680 Welcome to Merrin Talks Your Money, the personal finance edition 0:00:30.720 --> 0:00:33.320 of Merin Talks Money. In these bonus podcasts, we talk 0:00:33.360 --> 0:00:35.960 about the best strategies for making the most of your money. 0:00:36.040 --> 0:00:39.160 I'm marinzum'st Web editor at Large with Bloomberg UK Wealth. 0:00:39.360 --> 0:00:42.680 And I'm joined Stems send your reporter and author of 0:00:42.720 --> 0:00:44.720 the Money Distilled newsletter. 0:00:44.840 --> 0:00:48.480 Award winning, award winning Yeah, never let out those never 0:00:48.560 --> 0:00:50.360 miss out those words. Lest on question for you, John, 0:00:50.800 --> 0:00:54.800 how much is your life enshued for? Oh? 0:00:54.880 --> 0:01:01.040 I couldn't possibly see this, which is the Mona Lisa 0:01:01.080 --> 0:01:03.480 insured for? As well as I don't know? 0:01:04.240 --> 0:01:06.520 I don't know. I mean, this is an interesting one 0:01:06.520 --> 0:01:08.480 because I've been looking at this recently. Should my life 0:01:08.520 --> 0:01:10.200 be insured? And how much should it be insured? Foot? 0:01:10.240 --> 0:01:12.240 Because I don't think I have life insurance? What do 0:01:12.319 --> 0:01:17.360 I need to leave behind me? I didn't actually want 0:01:17.400 --> 0:01:19.840 you to answer that, John. I was more of a 0:01:19.920 --> 0:01:22.720 rhetorical question than a John, please tell me what I'm 0:01:22.760 --> 0:01:25.960 worth question. It wasn't that kind of question anyway, It's 0:01:25.959 --> 0:01:28.360 on my mind. So today we are going to talk 0:01:28.400 --> 0:01:31.520 about all types of insurances. Insurances you have to have 0:01:31.640 --> 0:01:35.360 their insurances that you should have and the ones that 0:01:35.600 --> 0:01:38.600 are fairly flexible. Now, in order to discuss this and 0:01:38.600 --> 0:01:40.600 get it right, and the man who's going to tell 0:01:40.640 --> 0:01:43.160 me what I'm worth, we have on with us today, 0:01:43.319 --> 0:01:46.720 Kevin Ryan. Kevin is an analyst with Bloomberg Intelligence and 0:01:46.800 --> 0:01:51.080 an expert in consumer insurance. Kevin, thanks for joining us today. 0:01:50.960 --> 0:01:51.800 Thanks for having me. 0:01:52.400 --> 0:01:53.440 What do you think I'm worth? 0:01:54.560 --> 0:01:59.640 Oh, at least five time salary if you're a corporate employee. 0:02:00.160 --> 0:02:03.240 Yeah, absolutely, And a lot of corporates will just give 0:02:03.280 --> 0:02:05.360 you this. It'll be in your contract that you get 0:02:05.440 --> 0:02:08.320 four or five times your salary. Yeah. Personally, I think 0:02:08.320 --> 0:02:10.040 I'm worth rather more than that, but maybe we won't 0:02:10.080 --> 0:02:13.120 get into that. Of course, what we want to do 0:02:13.160 --> 0:02:16.760 today is to talk about all the different types of insurance, 0:02:16.800 --> 0:02:20.000 what you must have, what you should have, and what 0:02:20.120 --> 0:02:22.120 might be nice to have. And as far as I know, 0:02:22.280 --> 0:02:25.639 the only one that is a legal requirement is car insurance. 0:02:25.720 --> 0:02:29.440 Right, Yes, that's right. You've got to have at least 0:02:29.520 --> 0:02:33.680 third party insurance if you own or drive a car. 0:02:34.880 --> 0:02:37.280 And tell us the difference between third party and fully comprehensive. 0:02:37.280 --> 0:02:38.280 I'm guessing most people know. 0:02:38.320 --> 0:02:41.440 But third party is just it covers you if you 0:02:41.639 --> 0:02:45.359 run into somebody or run into somebody's garden more they 0:02:45.400 --> 0:02:51.280 get paid out, but fully comprehensive covers you for absolutely everything. 0:02:51.360 --> 0:02:53.799 So if you have an accident and drive into your 0:02:53.800 --> 0:02:56.800 own brick wall, you can claim on your insurance and 0:02:56.840 --> 0:02:57.760 get your car repaired. 0:02:58.919 --> 0:03:02.040 Okay, So with third you drive into another car, your 0:03:02.040 --> 0:03:06.160 insurance covers all their costs, their medical bills, et cetera, 0:03:06.280 --> 0:03:08.400 but absolutely none of yours. You are on your own, 0:03:08.440 --> 0:03:12.280 that's right, But it's very significantly cheaper, presumably. 0:03:12.120 --> 0:03:15.400 Yes, although I have to say a lot of insurers 0:03:15.480 --> 0:03:16.880 now don't offer it at all. 0:03:17.400 --> 0:03:20.000 So yeah, yeah, And do you know what I found 0:03:20.040 --> 0:03:23.520 out the other day that that not everybody offers anymore. 0:03:23.520 --> 0:03:26.519 And back in the old days with car insurance, if 0:03:26.520 --> 0:03:29.600 you had your own car insurance, you were usually automatically 0:03:29.639 --> 0:03:32.760 third party covered on other people's cars. So you could 0:03:32.800 --> 0:03:35.160 just jump into someone else's car and not stealing it obviously, 0:03:35.160 --> 0:03:38.040 but with their permission, and drive off in it and 0:03:38.080 --> 0:03:39.920 be covered third party. But that doesn't seem to be 0:03:39.920 --> 0:03:40.680 the case anymore. 0:03:41.080 --> 0:03:44.040 It certainly is with some policies. I have one like that, 0:03:44.320 --> 0:03:47.640 oh do. But I think as car insurance has got 0:03:47.640 --> 0:03:50.720 more competitive price wise with the rise and rise of 0:03:50.760 --> 0:03:54.960 comparison websites, I think some insurers are pulling back from 0:03:55.040 --> 0:03:58.240 some of these what they regard as extras. 0:03:58.440 --> 0:04:01.000 Okay, so when we're getting car insurance, which we have 0:04:01.120 --> 0:04:02.920 to have, what should we be looking for? 0:04:03.200 --> 0:04:05.920 I think you need to be looking for things you 0:04:05.960 --> 0:04:09.600 want and things that insurers will give you a discount 0:04:09.640 --> 0:04:13.800 if you don't have, like windscreen cover. Windscreens now, particularly 0:04:13.920 --> 0:04:17.360 in modern cars, are very expensive to replace because they've 0:04:17.400 --> 0:04:20.320 got radio, aerials and all sorts of sensors in them. 0:04:20.960 --> 0:04:25.200 So definitely tick the box to have windscreen cover. And 0:04:25.240 --> 0:04:27.680 the other thing I would tick the box for is 0:04:28.160 --> 0:04:30.640 having a courtesy car when yours is off the road 0:04:30.839 --> 0:04:35.520 because because of supply chain logistics and so on, very 0:04:35.520 --> 0:04:39.960 often even a simple repair like a smash bumper the 0:04:40.040 --> 0:04:43.440 most common knock, can take several weeks. 0:04:44.400 --> 0:04:47.640 Okay, Okay, so you need a car, and what about 0:04:47.720 --> 0:04:50.880 getting insurance for young people? How's the best way to 0:04:50.880 --> 0:04:54.600 go about that? A big topic of conversation my friends. 0:04:54.839 --> 0:04:58.440 Yes, I didn't find that a problem when I had 0:04:58.480 --> 0:05:03.279 that challenge, and one particular insurer was very keen on 0:05:03.920 --> 0:05:08.680 having young people and it was expensive, but not ruinously so, 0:05:08.680 --> 0:05:10.800 so I think that the answer is to all of 0:05:10.839 --> 0:05:14.200 these things is to shop around, and the comparison sites 0:05:14.320 --> 0:05:15.320 are the place to do that. 0:05:16.080 --> 0:05:18.599 Okay, And can you tell us from your area of 0:05:18.640 --> 0:05:21.200 expertise why it is the current insurance has got so 0:05:21.279 --> 0:05:23.520 much more expensive so quickly. Is that to do with 0:05:23.720 --> 0:05:27.159 evs being more likely to be written off or harder 0:05:27.200 --> 0:05:29.560 to repair? Is it to do with the supply chain 0:05:29.600 --> 0:05:32.599 logistics you'se just mentioned, or is it as we sometimes 0:05:32.640 --> 0:05:35.200 read in the newspapers that those who do have insurance 0:05:35.200 --> 0:05:37.680 are paying out lot for the illegal drivers on the road. 0:05:38.520 --> 0:05:41.680 Well, I think that's a misnomer. Merret, I must pull 0:05:41.720 --> 0:05:45.680 you up on that, I'm fraid absolutely. If you look 0:05:45.720 --> 0:05:50.480 at the last confused dot com quarterly motor Price Index, 0:05:50.560 --> 0:05:54.279 their average cost is seven hundred and twenty six pounds 0:05:54.279 --> 0:05:56.920 for the fourth quarter of last year, and that's down 0:05:57.040 --> 0:06:02.400 thirteen percent year over year. So what is curious is 0:06:02.800 --> 0:06:05.880 that prices are going down. They peaked at nine hundred 0:06:05.880 --> 0:06:08.840 and ninety five pounds. When was that so? I mean, 0:06:08.960 --> 0:06:11.800 isn't it a quarter nineteen twenty twenty three? 0:06:12.440 --> 0:06:14.480 So that was the bit when they went up very 0:06:14.520 --> 0:06:17.719 dramatically post COVID. They went up from a much lower 0:06:17.800 --> 0:06:19.960 level than I think you're suggesting they're falling to now. 0:06:20.320 --> 0:06:23.120 So prices maybe down over a year or so, but 0:06:23.120 --> 0:06:27.800 they're still fairly comprehensively up on pre COVID levels and 0:06:28.120 --> 0:06:29.040 higher than inflation. 0:06:29.720 --> 0:06:35.479 Well, the second quarter twenty twenty three peak only overtook 0:06:35.960 --> 0:06:41.440 the fourth quarter twenty seventeen by a few pounds. So 0:06:42.400 --> 0:06:44.880 my view is that we've had a good deal from 0:06:45.000 --> 0:06:48.680 motor insurers and that in real terms, the price has 0:06:48.760 --> 0:06:51.760 been pretty flat. And I think the reason we had 0:06:52.040 --> 0:06:56.480 blip up in twenty three was that they regulator introduced 0:06:56.520 --> 0:07:02.159 the General Insurance Pricing Practices Rule in first of January 0:07:02.200 --> 0:07:05.039 twenty twenty two, and that basically meant they couldn't price 0:07:05.120 --> 0:07:10.040 walk and say lots of portfolios of motor insurance were 0:07:10.080 --> 0:07:13.160 repriced and settled down, so they spiked, and then they're 0:07:13.200 --> 0:07:16.680 back to normal. Everybody's where they should be again, and 0:07:16.760 --> 0:07:18.800 prices are coming off. 0:07:19.160 --> 0:07:22.520 Okay, great, So everything's absolutely fine. Your motor insurance is 0:07:22.520 --> 0:07:25.200 pretty much as it was. It's relatively easy to get. 0:07:25.360 --> 0:07:28.240 You can get third party and comprehensive cover pretty easily, 0:07:28.280 --> 0:07:30.760 and you can get the additional driver thing we were 0:07:30.760 --> 0:07:31.560 talking about earlier. 0:07:31.880 --> 0:07:32.320 You can. 0:07:33.080 --> 0:07:36.600 Okay, great, I feel a lot better. Right, what so, 0:07:36.680 --> 0:07:40.240 there's nothing else that's legally required. But the next insurance 0:07:40.280 --> 0:07:43.080 that you can't have to have legal requirement or not 0:07:43.280 --> 0:07:44.400 is building insurance. 0:07:44.520 --> 0:07:47.640 Right, if you own a property, yes, it would be 0:07:47.680 --> 0:07:52.440 silly not to unless you're very wealthy and you want 0:07:52.480 --> 0:07:55.800 to stump up the rebuilding cost if something awful happens. 0:07:57.120 --> 0:08:01.840 Okay, But the mistake that people make there is ensuring 0:08:01.920 --> 0:08:05.280 their house for the value of their house rather than 0:08:05.280 --> 0:08:07.960 for the cost of rebuilding their house. Because if your 0:08:07.960 --> 0:08:09.960 house burns down, it doesn't matter what it was worth. 0:08:10.040 --> 0:08:12.200 What matters is how much it's going to cost you 0:08:12.280 --> 0:08:13.520 to find someone to put it up again. 0:08:13.960 --> 0:08:14.400 Correct. 0:08:15.200 --> 0:08:19.000 Okay, And if you over insure your house, you're not 0:08:19.000 --> 0:08:20.720 going to get paid out that. You're just going to 0:08:20.720 --> 0:08:22.640 get paid what it costs to really. 0:08:22.520 --> 0:08:26.480 Get paid the rebuilding cost. Insurance is a contract of indemnity. 0:08:26.600 --> 0:08:30.000 So the deal is you buy buildings insurance, the thing 0:08:30.040 --> 0:08:33.160 burns down or blows down, and the insuran will come 0:08:33.160 --> 0:08:34.920 along and reinstate it. 0:08:35.600 --> 0:08:38.120 Yeah, and there was it. There was a period certainly 0:08:38.200 --> 0:08:40.800 in Edinburgh. I don't know about in other places where, 0:08:41.240 --> 0:08:45.200 particularly with older houses, when house prices were very low 0:08:45.280 --> 0:08:48.800 over the last decade or so, where people were underinsuring 0:08:49.040 --> 0:08:52.199 their houses for building insurance because it turned out that 0:08:52.200 --> 0:08:55.240 it cost more to rebuild a Georgian townhouse than it 0:08:55.280 --> 0:08:56.000 would buy one. 0:08:56.760 --> 0:08:59.199 I think you've got to be careful with under insurance 0:08:59.280 --> 0:09:03.599 because the writer can turn around and say you've misrepresented 0:09:03.600 --> 0:09:05.840 the risk to us, and therefore you have no cover 0:09:05.920 --> 0:09:09.160 at all. So it's it's a fine line to tread 0:09:09.280 --> 0:09:13.360 and I think one needs to exercise caution. 0:09:14.160 --> 0:09:17.000 What is the best way to figure out what the 0:09:17.200 --> 0:09:19.960 rebuilt cost of your house is? Because I know I 0:09:20.000 --> 0:09:22.839 think I went on the Rex website. I think a 0:09:22.840 --> 0:09:25.520 while ago. I've got a pretty normal house. It was 0:09:25.559 --> 0:09:27.320 just built, you know, like in the nineties, and it's 0:09:27.360 --> 0:09:29.840 one in the state in thinks there's nothing unusual about 0:09:29.920 --> 0:09:33.120 it something you can be pretty confident in what they suggested. 0:09:33.559 --> 0:09:37.080 But if you've got something about quirkier, or should you 0:09:37.120 --> 0:09:42.080 actually ask someone for a specific valuation or can you 0:09:42.200 --> 0:09:46.000 just not guess? But you know what, what can what's 0:09:46.000 --> 0:09:49.440 a good guideline for a sensible buildings insurance valuation. 0:09:50.280 --> 0:09:52.360 I think there are a number of, as you mentioned, 0:09:52.440 --> 0:09:57.520 online calculators, and I think ultimately, if in doubt, if 0:09:57.559 --> 0:10:00.440 you've got a grand house and it's Georgian and it's 0:10:00.559 --> 0:10:02.720 listed and all the rest of it, I would go 0:10:02.760 --> 0:10:05.359 on to your insurer and say what would you recommend 0:10:05.600 --> 0:10:08.400 and put the ball very much in their court and 0:10:08.440 --> 0:10:10.960 they will help you because they don't want you to 0:10:10.960 --> 0:10:11.800 be underinsured. 0:10:12.440 --> 0:10:14.160 Yeah. It feels like the kind of time you should 0:10:14.160 --> 0:10:17.200 have an insurance broker, right, Yeah, than just buying online. 0:10:17.240 --> 0:10:18.559 If you have a difficult house. 0:10:18.920 --> 0:10:21.440 If you've got a difficult house and it doesn't fit 0:10:21.880 --> 0:10:26.040 the standard big insurers things, then I think you need 0:10:26.080 --> 0:10:30.000 to go to a large broker that specializes in these 0:10:30.040 --> 0:10:32.920 sorts of things and they will sort it for you. 0:10:33.960 --> 0:10:37.520 Okay. Now, the other insurance that almost everybody have, which 0:10:37.800 --> 0:10:40.400 has which is not compulsory, but I'm sure pretty advisable 0:10:40.440 --> 0:10:43.240 as contents insurance, right because if your house burns down, 0:10:43.559 --> 0:10:46.520 the contents are going to be pretty valuable too. And 0:10:46.720 --> 0:10:51.400 this is the area where a lot of people underinsure 0:10:51.840 --> 0:10:53.559 and then find that they're in a whole part of 0:10:53.600 --> 0:10:55.240 trouble when something does happen. 0:10:55.360 --> 0:10:57.960 Is that right, I think it is. And I think 0:10:58.000 --> 0:11:02.040 the other thing insurers need to see is receipts for 0:11:02.080 --> 0:11:05.560 a lot of those things that people will say they've lost, 0:11:06.080 --> 0:11:10.480 because they need evidence that you had a fifty eight 0:11:10.559 --> 0:11:14.760 character ring that's somehow melted or whatever. 0:11:14.920 --> 0:11:16.720 But how can you have a receipt for things you 0:11:16.800 --> 0:11:18.000 inherited from your granny. 0:11:18.360 --> 0:11:20.480 It's really difficult, And I think what you need to 0:11:20.520 --> 0:11:24.520 do there is take a photograph of it, prove that 0:11:24.559 --> 0:11:26.760 you've got it, it's in the house, it's on your hand, 0:11:26.800 --> 0:11:30.839 or something like that, and have a jeweler value it, 0:11:31.679 --> 0:11:34.240 and have that a copy of that receipt somewhere safe, 0:11:34.720 --> 0:11:38.880 what the jeweler's valuation was, and proving that you actually 0:11:38.880 --> 0:11:43.000 owned it because it was in your possession via effect. 0:11:43.120 --> 0:11:45.439 And I suppose the other thing is that in extremists, 0:11:45.480 --> 0:11:48.240 I mean, that would work for a burglary, but if 0:11:48.280 --> 0:11:51.680 your house is burnt down, well that's going too all 0:11:51.720 --> 0:11:54.360 that's going too. I mean, should people really have an 0:11:54.400 --> 0:11:57.360 inventory of everything valuable in their house held off site. 0:11:57.559 --> 0:11:59.640 I think they should. I mean, if you if you've 0:11:59.640 --> 0:12:03.880 got a value portfolio of bits and pieces, then I 0:12:03.920 --> 0:12:05.800 think you need to do that. And I think if 0:12:05.800 --> 0:12:10.080 you have got a high value portfolio of shuttles and 0:12:10.400 --> 0:12:12.920 bits and pieces that the insurer will insist on that. 0:12:12.960 --> 0:12:15.520 Okay, So it isn't highly possible that you could lose 0:12:15.559 --> 0:12:18.120 everything and get almost nothing back if you haven't done 0:12:18.200 --> 0:12:20.960 this slightly horrendous sounding amount of admin. 0:12:21.760 --> 0:12:25.240 Not quite, But I think where they get sniffy is 0:12:25.720 --> 0:12:29.839 you know the old rings and the watches, and the paintings. 0:12:30.000 --> 0:12:33.040 Some of the paintings, yeah, and that you to pay 0:12:33.040 --> 0:12:36.599 attention to. But other things like your television, your dishwasher, 0:12:37.320 --> 0:12:42.079 you'll get new for old. So in this instance it's 0:12:42.120 --> 0:12:44.960 the only insurance that isn't a contract of indemnity because 0:12:44.960 --> 0:12:47.920 you get new for old. Yeah, because they can't go 0:12:47.920 --> 0:12:50.400 out and find a two year old Snoozi washing machine 0:12:50.480 --> 0:12:51.800 or whatever it is you've just lost. 0:12:53.240 --> 0:12:56.120 Well, there you go. Silver Linings, John, is all your 0:12:56.440 --> 0:13:00.640 vastly valuable collection of inherited jewelry, probably for graph re 0:13:00.720 --> 0:13:04.320 seated valued and with the type of store offside. I 0:13:04.360 --> 0:13:06.120 know you're efficient when it come to admin. 0:13:06.760 --> 0:13:08.880 I actually believe or not I do. My wife did 0:13:08.960 --> 0:13:13.000 lose or not or one expensive handbag was stolen many 0:13:13.080 --> 0:13:16.320 years ago, and that was something we actually did have 0:13:16.400 --> 0:13:21.079 a receipt for because it was one of the kind 0:13:21.120 --> 0:13:23.920 of few things that I guess i'd sort of turned 0:13:23.920 --> 0:13:26.640 around to the insurance said, because they ask you if 0:13:26.640 --> 0:13:28.839 something's worth over a certain amount, and so it was 0:13:28.880 --> 0:13:31.160 maybe like one or two things. I can say it 0:13:31.200 --> 0:13:34.200 would be a pain if you had a lot more stuff, 0:13:34.280 --> 0:13:36.800 and it's I mean, I can't say that everything in 0:13:36.920 --> 0:13:40.640 the house is completely itemized, but to be fair, I 0:13:40.640 --> 0:13:42.640 do take Kevin's point. I mean, if I had an 0:13:42.679 --> 0:13:46.000 expensive painting on the wall, I probably would, you know, 0:13:46.240 --> 0:13:50.320 have some proof of ownership of that. So yeah, I 0:13:50.320 --> 0:13:53.320 mean I can see that makes sense. Actually, I mean 0:13:53.360 --> 0:13:55.160 I can also say it's a total pain the next 0:13:55.160 --> 0:13:57.360 so I'm glad that I don't actually own anything, particularly 0:13:57.440 --> 0:13:58.160 valuu Boss. 0:13:58.280 --> 0:14:00.280 It's a shame, isn't it. I mean, Kevin, you don't 0:14:00.320 --> 0:14:01.520 know this, but one of the things that we try 0:14:01.520 --> 0:14:04.280 and do on this podcast is save people from ADMIN. 0:14:04.760 --> 0:14:06.200 And now look what we've done. 0:14:07.640 --> 0:14:09.360 Well, I guess the thing with the ADMIN is you 0:14:09.360 --> 0:14:12.400 don't want the ADMIN at the point where you need it. 0:14:13.080 --> 0:14:16.080 It's like one of these things we are you want 0:14:16.120 --> 0:14:18.560 to have the inventory. They saw that it's not a 0:14:18.559 --> 0:14:23.040 total if the wast does happen. I guess that's the 0:14:23.080 --> 0:14:27.680 other point of insurance. Center is mostly there for you're 0:14:27.720 --> 0:14:32.680 trying to show yourself against catastrophes rather than mayor inconveniencies. 0:14:32.880 --> 0:14:37.280 Really yeah, okay, fair enough, all right, So what's up next? 0:14:37.280 --> 0:14:40.160 So we've we've already spent a pile on motor insurance, 0:14:40.160 --> 0:14:42.720 we spent a pile of building insurance. We've probably spent 0:14:42.800 --> 0:14:45.720 rather too much on content insurance. After this conversation, what's 0:14:45.760 --> 0:14:47.440 the next insurance? On our last? 0:14:47.520 --> 0:14:51.600 Kevin Well, I imagine if you've got a favorite dog 0:14:53.440 --> 0:14:54.040 or a catch. 0:14:54.160 --> 0:14:57.520 I do have a favorite dog and when he was 0:14:57.600 --> 0:14:59.840 run over by a car, we did not have insurance. 0:15:00.720 --> 0:15:02.800 If you ever come to Scotland, I will introduce you 0:15:02.840 --> 0:15:05.760 to the most expensive border terrier in the world. 0:15:06.960 --> 0:15:11.280 So I would recommend people have pet insurance because me too. 0:15:11.640 --> 0:15:13.840 You know, if a dog does run in the road 0:15:14.280 --> 0:15:18.000 and need surgery on a leg, that's the same as 0:15:18.160 --> 0:15:21.600 you going into a private hospital and having the same 0:15:21.680 --> 0:15:24.480 So it's several thousand pounds, So a dog's leg is 0:15:24.480 --> 0:15:26.840 about three grand. It's the same as a human leg. 0:15:27.400 --> 0:15:30.160 And the other thing that you will find if a 0:15:30.200 --> 0:15:33.760 dog has an accident or a cat and has an operation, 0:15:34.240 --> 0:15:39.080 they will mandatorily keep it in overnight. And I have 0:15:39.160 --> 0:15:41.840 to tell you, having been through this process myself once, 0:15:42.400 --> 0:15:45.320 that it's more expensive than most hotels I stay in 0:15:45.360 --> 0:15:49.800 on holiday. See, insurance is a good thing here. It's 0:15:49.920 --> 0:15:52.240 not that expensive if you chop her out. 0:15:53.280 --> 0:15:54.880 Well, all I would say is that I would be 0:15:54.920 --> 0:15:57.960 absolutely thrilled if my dog had only broken one leg 0:15:58.040 --> 0:16:01.120 and only stayed in hospital for one night. Fact, he 0:16:01.240 --> 0:16:06.400 broke everyone liked to know. He broke two hips leg 0:16:06.440 --> 0:16:10.760 in one place, six ribs, and had a hernia, and 0:16:10.840 --> 0:16:13.520 he was in for nearly two weeks. Enjoying the sums 0:16:13.560 --> 0:16:16.960 on that one. As I say, most expensive border terrier 0:16:17.000 --> 0:16:19.880 in the entire world. He's available for viewing tenor ago. 0:16:20.960 --> 0:16:23.000 This six million dollar dog kill. 0:16:25.080 --> 0:16:35.720 Exactly exactly. Let's pick that one up, though, because you 0:16:35.800 --> 0:16:39.280 could self ensure with this. You could say, well, my 0:16:39.360 --> 0:16:41.760 pet insurance is sixty good a month or whatever, and 0:16:41.760 --> 0:16:43.600 I'm just going to put that into a high interest 0:16:43.640 --> 0:16:46.600 bank account and I'm going to leave it until something happens. 0:16:46.600 --> 0:16:48.560 But I think from what I know, and it sounds 0:16:48.600 --> 0:16:50.960 like you know as well, Kevin, sorry about that, is 0:16:51.000 --> 0:16:52.720 that that's probably never going to be enough. 0:16:53.520 --> 0:16:56.160 I don't think it is, because one of the things 0:16:56.160 --> 0:17:00.680 that's interesting about the veterinary world in the UK is 0:17:00.720 --> 0:17:03.440 that the prices go up a bit more than CPI. 0:17:05.960 --> 0:17:09.600 Is there a size of pet where you would suggest size, 0:17:09.600 --> 0:17:12.040 you know, like like for example, I mean, uh, like 0:17:12.160 --> 0:17:15.840 we've voided things like budgies and hamsters, and I mean 0:17:16.240 --> 0:17:19.439 those I must have been don't get insurance for. I 0:17:19.440 --> 0:17:21.719 won't tell you about the time I got a hysterectomy 0:17:21.760 --> 0:17:24.240 done in a hamster. I will just part that one 0:17:24.320 --> 0:17:29.280 for future humiliation. But I'm just saying so I can 0:17:29.320 --> 0:17:31.879 see the argument for dogs definitely, and obviously horses. I 0:17:31.920 --> 0:17:34.879 mean that's practically that's like showing the car. But we 0:17:35.040 --> 0:17:38.639 I can't seem slightly borderline to me low I suppose 0:17:38.680 --> 0:17:41.240 again that depends on how affectionately you feel for your cat. 0:17:41.920 --> 0:17:45.080 I don't know, John, I would say cats, yes, But hamsters. 0:17:45.080 --> 0:17:46.919 We have a friend who's event and you know she 0:17:46.920 --> 0:17:48.000 says about hamsters. 0:17:49.720 --> 0:17:51.400 I can't imagine she says. 0:17:51.200 --> 0:17:53.159 Twenty quid for a new one. 0:17:57.800 --> 0:18:00.720 That's a compassionate like to hear from her medical professionals. 0:18:03.880 --> 0:18:08.720 Anyway, moving on, moving on, Given how expensive. It is 0:18:08.880 --> 0:18:12.400 just to keep a dog in hospital overnight. And by 0:18:12.440 --> 0:18:16.639 the way I get it, there's the there's the oxygen masks, 0:18:16.720 --> 0:18:20.440 and the intensive care nurses and the special rum and 0:18:20.480 --> 0:18:22.520 all that. It's expensive. But if we're going to take 0:18:22.520 --> 0:18:26.560 out insurance for our border terriers for this, clearly I 0:18:26.560 --> 0:18:28.320 think you would suggest, Kevin, that we should have our 0:18:28.359 --> 0:18:29.840 own medical insurance as well. 0:18:31.200 --> 0:18:36.200 I think that's sensible. And companies like Axer and Aviva 0:18:36.240 --> 0:18:39.640 have been reporting that take up of their private medical 0:18:40.000 --> 0:18:43.960 care offering has been booming in recent years. 0:18:44.880 --> 0:18:46.600 Yeah, well it would be what with the state of 0:18:46.600 --> 0:18:48.640 the NHS and all that. But the only problem there 0:18:48.720 --> 0:18:51.080 is that everyone's going private. Eventually you end up with 0:18:51.119 --> 0:18:53.120 the same cues for going private, right. 0:18:53.920 --> 0:18:56.879 I don't know, try and live a healthy life, so 0:18:56.920 --> 0:18:57.359 I don't know. 0:18:59.440 --> 0:19:02.760 Anyway, it's also very expensive. I mean, you know, you're 0:19:02.800 --> 0:19:05.120 talking for someone in their forties or fifties, you're talking 0:19:05.160 --> 0:19:07.280 maybe two or three thousand pounds a year for private 0:19:07.280 --> 0:19:10.680 medical insurance. So is there a case there for self 0:19:10.680 --> 0:19:12.639 insuring for saying, okay, do you know what, I'm just 0:19:12.680 --> 0:19:14.639 going to put that money into a bank account and 0:19:14.720 --> 0:19:16.840 if I do need a hit replacement for five grand 0:19:16.880 --> 0:19:18.359 or whatever it is, the money you'll be there and 0:19:18.359 --> 0:19:20.080 I haven't wasted it on insurance. 0:19:20.960 --> 0:19:23.320 Yeah, I think I think that's right. I think where 0:19:23.320 --> 0:19:26.040 it does come into play is if you had some 0:19:26.760 --> 0:19:30.240 you know, really bad disease or cancer or something that's 0:19:30.280 --> 0:19:34.480 going to cost considerably more and need urgent treatment more 0:19:34.520 --> 0:19:38.000 to the point, then I think that's where private health 0:19:38.040 --> 0:19:41.200 insurance can come into its own. But yes, if you've 0:19:41.200 --> 0:19:44.200 got the discipline, and this is the thing, I think, 0:19:44.240 --> 0:19:47.520 the discipline to put a couple of hundred pounds into 0:19:47.560 --> 0:19:51.760 the high interest account to pay for your hip or 0:19:52.640 --> 0:19:55.080 broken leg or whatever it happens to be I think 0:19:55.160 --> 0:19:58.040 might occur, then gave for it. 0:19:58.080 --> 0:20:01.280 So technically speaking, I guess the NH says there, that's 0:20:01.320 --> 0:20:06.240 your catastrophe insurance. So if something like an ane type 0:20:06.240 --> 0:20:11.040 thing happens, then you're kind of covert. And the flip 0:20:11.080 --> 0:20:14.239 side of that is the the sort of things you 0:20:14.240 --> 0:20:17.880 would self insured for. I don't know. I can see 0:20:17.880 --> 0:20:20.120 that self insurance is a little bit more feasible here 0:20:20.160 --> 0:20:21.760 than it is in the pet case, because if you 0:20:21.840 --> 0:20:24.520 do it for long enough, and you start early enough, 0:20:25.240 --> 0:20:28.080 then you probably could conceivably save up enough for a 0:20:28.240 --> 0:20:31.159 hip operation or something like that and you. 0:20:31.240 --> 0:20:32.920 Have a bad stop which pets don't. 0:20:33.720 --> 0:20:36.840 Yeah, yeah, exactly, although I would. 0:20:36.600 --> 0:20:39.919 Say, can you really rely on NHS any anymore? I mean, 0:20:39.960 --> 0:20:41.280 I know where I live in Scotland we do not 0:20:41.320 --> 0:20:43.479 have private anys, but certainly in the South that are 0:20:43.520 --> 0:20:45.679 private an is now. An't that where you can go 0:20:45.760 --> 0:20:47.800 and be saying oh in under fourteen hours? 0:20:50.920 --> 0:20:53.680 Yeah, I do. I think it's a trick you want. 0:20:53.680 --> 0:20:55.480 And I can see why demands going up your open 0:20:55.480 --> 0:20:59.760 bank accounts now and they'll do those GPE out of 0:21:00.119 --> 0:21:04.160 services that you can just fall out and zoom appointment 0:21:04.200 --> 0:21:06.480 the GP and I kind of thing I can see 0:21:06.520 --> 0:21:10.080 is really useful because getting a GP appointment, even for 0:21:10.240 --> 0:21:12.760 just a you know, I cannot be assured part in 0:21:12.800 --> 0:21:17.040 the head that does not normally doesn't. That's fairly hard 0:21:17.080 --> 0:21:20.159 these days. Yeah, once appoint am i'd have said you 0:21:20.160 --> 0:21:22.360 probably don't need medical insurance and they are much more 0:21:22.720 --> 0:21:24.600 divaded I have to see. 0:21:24.840 --> 0:21:26.600 Yeah, I mean, if you break your leg, you want 0:21:26.640 --> 0:21:28.360 to be able to see a doctor before it resets 0:21:28.359 --> 0:21:34.520 itself in the wrong way, don't you definably? Okay, moving on, 0:21:34.600 --> 0:21:36.560 so medical insurance if you can there there is some 0:21:36.600 --> 0:21:40.760 possibility to self ensure that. What next we talk about 0:21:40.760 --> 0:21:42.920 We talked about the value of my life, which was nice, right, 0:21:43.119 --> 0:21:45.679