Calculate the value of your wardrobe for insurance purposes. It’s easy!
When it came time to renew my home insurance policy, I was asked about the total value of my household goods. That put me in a bind; I didn’t want to pay a higher premium, but I had to admit that I had accumulated quite a lot of stuff. What surprised me most was the real value of my clothing.
I made the right choice. I decided to disclose the real value of my belongings in case I ever have to replace them. #BeingAResponsibleAdult
I figured out a fast and easy way to estimate the value of my wardrobe. It’s a shortcut that might come in handy for you!
The thing you need to think about before you get started is market value. But please don’t blame me if you wind up feeling guilty when you realize how much you’ve spent on clothes! LOL.
- Keep track of your bills. I’m the keeper of bills in my household; I hang on to all of them. By adding up your expenditures on clothing, you can easily come up with an annual or monthly average. It’s best to keep the bills in a safe place. I leave mine at the office so that if there’s ever a fire in my house all my proofs of purchase are elsewhere.
If you have designer clothing, itemize it and note the replacement value. That’s what I did with my Chloe blazer which is worth $1,200. Own a Burberry jacket or a Stella McCartney dress? Be sure to count them.
- Don’t forget your accessories and shoes. Even if your Marc Jacobs handbag has been sitting in your closet for a while, you need to include it in your tally.
- When it comes to items for which you don’t have the bill, take the average price you pay for a particular article of clothing and multiply it by the number of items of that kind in your wardrobe. I love pullovers. I know I have at least 20 and that I pay $40 on average for them: 20 X $40 = $800 … just for sweaters, ouch!
- Take photographs of the clothing in your closets. If something happens to your house or apartment the photos will be a useful reminder. You can store them on the cloud for extra security. You can never be too careful!
After embarking on this project, I realized that over the years I had accumulated nearly $10,000 worth of clothing (including my spouse’s wardrobe and the baby’s clothes). Quite a sum. I had initially estimated the total value of my belongings at $10,000. So after my revealing clothing inventory I decided to increase the value of my household goods to be on the safe side.
If you need help taking an inventory of your belongings, there are tools you can use to take stock of your furniture and personal possessions. How much is your wardrobe worth?
Learn more about all-risk insurance and how it can protect your possessions.
