Dear Broker

We are writing to let you know that from 1^st June 2024 Aviva Farm policy renewals will automatically include 15% indexation to protect customers against the effects of inflation on Section 1 Farm dwelling house and contents where this Section is in force.  

While indexation is a useful tool to help minimise the risk of under insurance, it should not be relied upon, as each customer’s home is unique.  

Please remind your customers to regularly review their sums insured

With rising inflation and the cost of building increasing significantly in recent years, as well as many homeowners deciding to renovate or extend their homes, it has never been more important for customers to ensure that they are fully covered.

We understand how stressful it is for customers when they have to make a claim and, as insurers, we want to avoid having to add to the stress by telling them that they are under-insured. We are therefore asking you to please remind your customers to check their sums insured on a regular basis to ensure that they have adequate cover in place and to protect against the application of the ‘Average Clause’ condition, where this condition applies to this Section.

Here are some Key Points to Note:

• 15% Indexation will apply to Section 1 Farm dwelling house and contents where this Section is in force for Farm Renewals from 1st June 2024.
• 15% Indexation will apply to buildings sum insured and indexation will also be automatically applied to the applicable proportional contents sum insured. 

We have attached our existing frequently asked questions (FAQ) guide in relation to under insurance to help you to answer any questions your customers may have. Please click HERE 

If you have any further questions in relation to this change or need any assistance, please contact your Aviva BDM or your Farm product trader. 

Thank you for your continued support.

Yours sincerely

Stephen McGerr
Sales Director

Aviva Insurance Ireland DAC