It is important for students to avoid assuming they are covered by their parents' home insurance policies.

Student account holders must not make the mistake of assuming their possessions are covered by their parents' home insurance policies.

That is the warning issued by Mike Powell, insight analyst for general insurance at Defaqto, who has urged scholars heading off to university before the 2011-12 academic year to look into whether or not they are automatically protected.

Research conducted by the organisation established that while 85 per cent of contents and buildings insurance packages do include cover for student belongings, the other 15 per cent do not.

Therefore, assuming they are protected could prove costly to scholars should their possessions be lost, stolen or damaged.

"As always, the devil is in the detail - so students and parents need to check what - if any - cover their family home insurance will provide," Mr Powell noted.

These comments echo the sentiments of Annie Shaw from Cash Questions, who recently urged all attendees of universities to seriously consider signing up for insurance sooner rather than later.

Meanwhile, Students considering their financial options can conduct research on the internet.

Researching personal finance options such as student accounts can often be done by consumers from the comfort of their own home.

That is according to Justin Modray of online resource Candid Money, who believes all individuals should take the time to weigh up their options when it comes to such decisions.

Mr Modray explained that the "obvious route" of discussing these products with a financial advisor can often prove too costly for many people, while some professionals in this field may not be as independent as they claim.

"For more straight-forward products such as savings accounts, credit cards and mortgages it's not too difficult to do your own research," he noted.

The expert went on to state that the internet represents a "great resource" for many monetary matters.

Recently, the Financial Services Consumer Panel revealed that many Britons find the process of signing up for the best personal finance options for them both stressful and unrewarding.

In related news, it is essential for students to seriously look into the possibility of taking out home insurance before the new academic year begins, an expert has said.

According to Annie Shaw, director of online resource Cash Questions, all attendees of universities must not ignore the need to sign up for contents and buildings insurance and should instead take stock of their personal situation to decide if they need it or not.

Ms Shaw noted that each individual's circumstances are different because those staying in halls of residence are often protected by some sort of general annual insurance product.

However, she warned that expensive items like laptops should be covered separately and added people residing in a rented house "really should consider insurance for their needs and liabilities, for things like theft, fire and loss of personal possessions".

Recently, Defaqto revealed there has been a 19 per cent growth in the number of home insurance policies on the market in Britain since 2008.

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