Specified Items vs All Risks: What High Net Worth Contents Cover Actually Means

Specified items and all risks are not alternatives. All risks describes what kind of loss or damage your contents are covered against. On many standard home policies, 'all risks' is also the name of the optional section that covers personal possessions away from home, so check which meaning your own schedule uses. Specified items describes which possessions are listed individually on the policy, each with its own sum insured. A well-arranged high net worth policy usually uses both.

The two terms are often used as if you had to choose between them, and that confusion can lead to real gaps. Someone may believe their engagement ring is fully covered because the policy is "all risks", only to find after a loss that the ring was worth more than the policy's single item limit. Understanding both terms is the first step to making sure your high value home insurance does what you expect.

This guide explains what each term means, how they work together, and the questions worth asking about your existing cover.

Key Takeaways

• All risks cover protects against loss or damage from any cause that isn't specifically excluded. It is broader than cover for named perils such as fire, storm and theft.
• Specified items insurance lists high value items individually, each with its own sum insured, so they aren't restricted by general contents limits.
• Unspecified items are usually subject to a single item limit. Any possession worth more than that limit should normally be specified.
• All risks doesn't mean everything is covered. Wear and tear, gradual deterioration and other exclusions in the policy wording still apply.
• Professional valuations help set the true value of specified items, and need updating as values change.
• Worldwide cover, automatic cover for new purchases and liability for domestic staff are worth checking on any high net worth policy.

Two Questions, Not One Choice

High net worth contents cover answers two separate questions:

Question	The terms that answer it
What events am I covered against?	All risks, or named (specified) perils
Which possessions are covered, and for how much?	Specified items, or unspecified general contents

So a painting could be specified on an all risks basis, which means it is listed individually and covered against accidental loss or damage from most causes. A sofa might be covered as unspecified general contents, also on an all risks basis, within your overall contents sum insured.

The word "specified" can cause confusion, because it appears in both contexts. "Specified perils" means the events covered are listed. "Specified items" means the possessions are listed. They are different things.

What All Risks Cover Means

All Risks vs Named Perils

A standard home insurance policy usually covers contents against a list of named perils: fire, theft, storm, escape of water and so on (flood cover can be restricted in some locations). If something is damaged in a way that isn't on the list, there is no cover.

An all risks policy reverses that. It covers accidental loss or damage from any cause, unless the policy wording specifically excludes it. Dropping a vase, losing an earring or spilling red wine on a rug are the sort of everyday losses that may not fit a named peril, but can be covered on an all risks basis.

Many high net worth insurers write contents on an all risks basis as standard, which is one of the main differences between specialist policies and standard cover.

What All Risks Doesn't Cover

All risks is broad, but not unlimited. Typical exclusions include:

• Wear and tear and gradual deterioration.
• Damage from moths, vermin or insects.
• Mechanical or electrical breakdown.
• Damage caused by cleaning, repair or restoration work.
• Deliberate damage by you or your family.

Every insurer's wording is different, so the policy wording is the only reliable guide to what is excluded. It's worth reading the exclusions section as carefully as the cover section.

Accidental Damage

Accidental damage is often sold as an optional extra on standard home insurance. On an all risks high net worth policy, it is usually built in. Check your policy to confirm, particularly for items such as sporting equipment or musical instruments that are often used away from home.

What Specified Items Insurance Means

Single Item Limits

Most contents policies include a single item limit, sometimes called a single article limit. This is the maximum amount the insurer will pay for any one unspecified item, regardless of its true value. There is often a separate limit on the total value of valuables such as jewellery, watches and art.

These limits are usually much higher on high net worth policies, but most still apply them, particularly to jewellery, watches and art.

Specifying an Item

When you specify an item, you list it on the policy schedule with a description and its own sum insured. The single item limit no longer applies to that item, and it is covered up to its specified value, subject to the policy terms.

As a general rule, anything worth more than your policy's single item limit should be specified. Insurers may also ask for certain types of valuable to be specified whatever their value, such as jewellery and watches over a set amount.

Items Commonly Specified

High value items that are often specified include:

• Engagement rings and other jewellery.
• Watches.
• Fine art, sculpture and prints.
• Antique furniture and silver.
• Collections, such as wine, stamps, coins or first editions.
• Sporting equipment, such as guns or high value bicycles.
• Musical instruments.

How It Works in Practice

A simple example shows why both terms matter.

Suppose a policy has a single item limit of £10,000, and covers contents on an all risks basis. A necklace worth £18,000 is lost while on holiday.

• If the necklace is unspecified, the claim is usually limited to the £10,000 single item limit, even though the loss is covered.
• If the necklace is specified at £18,000, the claim can be considered up to its specified value, subject to the policy terms and any excess.

In both cases, all risks cover means the loss is covered in principle. Specifying the item is what sets the most the insurer will pay for it.

Valuations and the True Value of Your Possessions

A specified item is only as well protected as its sum insured. If an item is specified at less than its true value, a claim may not cover the full cost of replacing it.

A professional valuation is the most reliable way to set the right figure. Valuations should state the basis used, usually the cost of replacing the item with one of a similar kind and quality. That can be very different from what you paid, or from its market value at auction.

Values change. Jewellery, watches, fine art and collector items can rise significantly over time. Many owners have their most valuable assets revalued every few years, or sooner if markets move.

Agreed Value

Some high net worth policies offer agreed value cover for certain items, such as fine art. With agreed value, you and the insurer agree the value when cover starts, usually based on a professional valuation. That figure then forms the basis of a claim for a total loss, which removes uncertainty about what the item was worth.

Worldwide Cover and Possessions Away From Home

Many valuables travel. A watch, a ring or a camera may spend as much time away from the house as in it. High net worth policies often include worldwide cover for personal possessions, so specified items and valuables are protected when you travel, subject to the policy terms.

Check whether worldwide protection applies to all your possessions or only certain categories, and whether any conditions apply, such as keeping items in a hotel safe.

Contents in holiday homes and overseas properties are a separate question. They may be covered under your main policy, or may need separate local insurance, depending on the country and the insurer.

New Purchases and Automatic Cover

High net worth policies often include automatic cover for new purchases up to a set value, for a limited period. If you buy a new watch or a piece of art, it may be covered straight away, but you'll need to tell your broker before that automatic cover ends so it can be added as a specified item.

Keeping receipts and certificates for new purchases makes this simpler, and helps with any future claim.

Contents Across Multiple Properties

High net worth individuals often own multiple properties, such as a main residence, a holiday property and perhaps a country estate. Contents values and valuables can move between them through the year.

Specialist policies can usually cover contents at several addresses, with a sum insured for each property. Specified items covered on a worldwide basis may be protected at any of them. Tell your insurer where your most valuable possessions are usually kept, and about any property that is left empty for long periods, as different conditions may apply. Arranging insurance for a private country estate raises similar questions about outbuildings, staff and contents spread across a larger site.

Domestic Staff and Legal Liability

Many high net worth households employ domestic staff, such as housekeepers, nannies, gardeners or drivers. If a member of staff is injured at work, you could face a claim.

The Employers' Liability (Compulsory Insurance) Act 1969 applies to employers carrying on a business in Great Britain, so a household employing staff privately is not usually covered by that legal requirement. You can still be held legally liable for injuries to your staff, however, and many high net worth policies include liability cover for domestic employees as well as for you and your family. Check the limits on your policy, and take advice if your staff work for a business you run as well as for the household.

Buildings Cover Still Matters

This guide focuses on contents, but your buildings insurance should be reviewed at the same time. Buildings cover should be based on the reinstatement value, meaning the full rebuild cost including demolition, materials and professional fees, rather than the market value.

For a period property or a listed home, the reinstatement cost may be higher than expected because of specialist materials and craftsmanship. A professional rebuild valuation is the most reliable way to set the right sum insured.

Risk Management for Valuable Possessions

Insurers look at how valuable possessions are protected, and good risk management can help keep cover in place on the right terms. Common measures include:

• A safe for jewellery and watches, fitted to the insurer's standards.
• A monitored intruder alarm, and sometimes a fire alarm.
• Photographs, valuations and receipts for all specified items, stored securely and separately from the items.
• Care with storage, display and transport of fine art and antiques.

Some policies set conditions on these measures for valuables above certain limits, so check your policy wording.

Questions to Ask About Your Existing Cover

If you're not sure your possessions are properly protected, these questions are a good place to start:

1. Are my contents covered on an all risks basis, or against named perils only?
2. What is my single item limit, and is any unspecified possession worth more than that?
3. When were my specified items last valued?
4. Is there a total limit for valuables, and is my collection above it?
5. Are my valuables covered worldwide?
6. How long does automatic cover for new purchases last, and up to what value?
7. Does my policy cover liability to domestic staff?

How Ellis David Can Help

High net worth contents cover depends on details: the wording, the limits, the valuations and the way you live. Getting those right is easier with a broker who takes time to understand you and your possessions.

Ellis David has been arranging insurance for over 50 years, from our office on Essex Road in Islington, London. Our UK-based team has more than 150 years of combined broking experience, and we have access to over 100 UK insurers and MGAs and more than 1,000 products and schemes, including specialist insurers focused on high value homes and possessions.

When you work with our private client team, you'll be paired with one of our qualified brokers, and there's no call-centre anonymity. We act for you when arranging your cover, and you'll have specialist claims support if you need to make a claim. You can get to know the team before you speak to us.

If you'd like us to check your specified items, valuations and limits, we can review your existing high net worth home insurance alongside your wider high net worth insurance. Get in touch with our private clients team.

Frequently Asked Questions

What Is the Difference Between Specified Items and All Risks?

All risks describes the events you are covered against: accidental loss or damage from any cause that isn't excluded. Specified items describes which possessions are listed individually on your policy, each with its own sum insured. They work together, so a specified item is often covered on an all risks basis.

What Is a Single Item Limit?

A single item limit is the maximum amount an insurer will pay for any one unspecified item on a contents policy. If an item is worth more than this limit and isn't specified, a claim is usually capped at the limit. Specifying the item removes this restriction for that item.

Which Items Should I Specify on My Home Insurance?

As a general rule, specified items insurance is needed for any item worth more than your policy's single item limit. This often includes engagement rings, watches, fine art, antique furniture and collections. Your insurer may also require certain valuables to be specified above a set value.

Does All Risks Mean Everything Is Covered?

No. All risks covers accidental loss or damage from most causes, but policies still exclude things such as wear and tear, gradual deterioration, moths and vermin, and mechanical breakdown. The policy wording sets out exactly what is excluded.

Do I Need a Professional Valuation for Specified Items?

Insurers often ask for a professional valuation for high value items, and it is the most reliable way to set the right sum insured. Valuations should be reviewed regularly, as the value of jewellery, watches, art and collections can change over time.

How Is High Value Home Insurance Different From Standard Contents Insurance?

High value home insurance is designed for homes and possessions worth more than a standard policy allows for. Compared with standard contents insurance, it usually offers higher limits, all risks cover as standard, worldwide protection for valuables and much higher limits for specified items. That broader protection is the main reason people with high value properties move to a specialist policy.

When Do I Need Specified Items Insurance for a High Net Worth Home?

Specified items insurance is usually needed when a single valuable item is worth more than your policy's single item limit, or when your jewellery, watches, art or collections add up to more than the total limit for valuables. As a guide, high net worth insurance is often considered where individual items are worth over £5,000, collections over £10,000, or art and jewellery over £30,000. A broker can check your possessions against your current limits.

What Is Specialist Underwriting?

Specialist underwriting means the insurer assesses your home and possessions individually, rather than pricing them on a standard model. Specialist underwriters look at factors such as the construction of a high net worth property, security, valuations and how items are stored. This allows for bespoke cover that reflects your actual risks, rather than the assumptions built into a standard policy.

What Does a Specialist Private Client Broker Do?

A specialist private client broker arranges insurance for individuals and families with high value homes, possessions and lifestyles. The broker assesses what you need, approaches specialist insurers on your behalf, explains the policy wording and limits, and supports you if you need to make a claim. The value of a broker lies in the specialist expertise needed to spot gaps, such as a valuable item that hasn't been specified.

Do High Net Worth Insurers Offer Dedicated Claims Handling?

Many high net worth insurers provide dedicated claims handling, with claims teams experienced in high value homes, fine art and jewellery. Arrangements vary between insurers, so it's worth asking how claims are handled before you choose a policy. Your broker can also support you through the claims process.

Can Specialist Vehicles Be Included in a High Net Worth Policy?

Often, yes. Many high net worth policies can include, or sit alongside, specialist cover for vehicles such as high value, classic and collector cars. These are commonly insured on an agreed value basis, and specialist car insurance is usually considered for cars worth over £50,000.

Is Specialist Private Client Insurance Worth It?

Specialist private client insurance is worth considering if your home, contents or valuables exceed the limits of a standard policy. High net worth home insurance policies typically offer higher limits, all risks cover and the option to specify valuable items, each with its own sum insured, so it is worth keeping valuations up to date. For homes and possessions below those thresholds, standard cover or other specialist insurance may be enough.

How Does Ellis David Arrange High Net Worth Insurance?

Ellis David has been arranging insurance for over 50 years and has access to over 100 UK insurers and MGAs, including specialist insurers focused on high value properties and possessions. Clients are paired with one of our qualified brokers and supported by a dedicated team, with specialist claims support if something goes wrong. 

Useful Resources

• Employers' Liability (Compulsory Insurance) Act 1969, section 1, legislation.gov.uk: https://www.legislation.gov.uk/ukpga/1969/57/section/1