Challenger bank Monzo has entered the UK home insurance market to offer contents cover, and this should prove popular given UK consumers’ preference for digital channels. Monzo has recognised the low penetration rates for contents insurance specifically, and GlobalData data shows that young consumers and renters present a significant opportunity for contents-only insurers.
GlobalData’s 2024 UK Insurance Consumer Survey found that only 44.3% of renters have a home insurance policy—this group only requires contents cover. This compares to a penetration rate of 90.2% for homeowners (with a mortgage). Furthermore, only 38.4% of adults under the age of 30 who rent have home insurance cover. This is therefore a huge market opportunity. Our survey also finds that over half (61.0%) of under-30s purchase home insurance online (either via laptop, smartphone, or a app), so a bank…
