There are some people that swear by contents insurance and would not even consider going without it and there are some people that just do not bother with it at all. It can be something which may feel like you are just paying out money with nothing in return. It is worth therefore considering whether it is worth paying for it or not.
It is worth thinking about how much it would cost to replace the contents of your home and whether in fact all of them are replaceable. If you have family heirlooms, for example, and they get destroyed or stolen then the money may mean very little to you because you will not be able to replace them. However if you have clothing, electricals and furniture to replace then you will want to be able to replace these and it cost a great deal of money to do this. You will have to add up the value of everything in order to get the right amount of cover and therefore it is something that you will need to do anyway.
If you do not have many things, maybe you have only just moved out on your own, then it could be worth not insuring. You may be able to save up the money that you would have used for the monthly payments and then use if you do need to replace anything. You will need to imagine though that it could be possible that you need to replace everything really quickly and you have to think about how you would manage.
Insurance is rather like a form of gambling. You have to assess the risk and decide what to do. If you take out the insurance then you are paying out money each month and you may never need to use it. However, if you do not have the cover then you risk losing everything should your property all be destroyed by fire, flood or theft.
As well as considering whether you be able to afford to not be insured you also need to think about how you will feel in both situations. If you pay out a lot in insurance and never use it you could really regret doing so. However, if you risk not having the insurance then you may be worried about what might happen if you have to find the money to replace all of your things. You may therefore get peace of mind with the insurance which is something that you will not get any other way unless you have a sum of money in savings that will be able to replace everything that you have. This is highly unlikely.
Most people decide that they would rather have the peace of mind and pay the insurance. They realise that to replace their possessions they would need a lot more money than they have and so they would need to use the insurance to pay for them. It can be an expense that some people struggle to meet, but the cost of replacing possessions will be even greater and many think that it is worth finding the money to cover the premiums.