Insure you keep track of downloads
Household insurance may not cover music and movies, warns Virgin Money
Music and movie fans are being urged to keep track of their collections as the download boom creates a risk that valuable possessions are not covered by home insurance, Virgin Money warns.
More than 200 million legal music downloads have been sold in the UK since the launch of online stores in early 2004* and digital versions now account 85 per cent of Top 20 singles sales.
Experts are predicting a similar boom in movie downloads following a deal between Apple’s iTunes and film studios allowing films to be downloaded on the day that DVDs are released. The site has already seen more than two million feature films sold.**
But Virgin Money is urging music and movie fans to make sure their home insurance will cover them for the value of their collections if their computer or laptop is damaged or stolen.
Not all household and contents insurance will pay out for downloaded tracks – some say downloads should count as data files and therefore do not cover them while others classify them as personal possessions and do.
Grant Bather, spokesman at Virgin Money, said: “More people are choosing to download music and films and as such, their computer will have a lot of information on it that if stolen, could be lost forever.
“A number of artists including Bloc Party, Marillion and Radiohead have all released their music online and it is clear that over the coming years artists will be exploiting the internet as a way to release their tracks.
“As such, fans need to make sure that should their computer get damaged, lost or stolen, that the tracks or feature films can be restored.”
With the Virgin Money Home and Contents Cover, holders are able to claim on any downloads that they have receipts for up to a total of £3,000. If the music is lost or stolen they can claim as if they’re CDs. Users who download music and film should print off and keep all receipts safe.
Contents insurance also covers home office equipment, including a computer, up to £5,000, while laptops can be covered by the additional Personal Possessions cover.
ENDS
Notes to editor
* BPI
** itunes - http://www.apple.com/pr/library/2007/04/11itunes.html
For further information
Grant Bather, PR Manager, Virgin Money
Tel: 0207 111 1012
About Virgin Money
Virgin Money is Virgin’s financial services arm and was established in 1995.
Virgin Money has over two million customers and offers a wide range of financial products across lending (e.g. credit cards and personal loans), savings (e.g. deposits, investments and pensions) and protection (e.g. life insurance, home insurance and car insurance) to the UK market.
Virgin Money Personal Financial Service Ltd is authorised and regulated by the Financial Services Authority (FSA). Registered Office: Discovery House, Whiting Road, Norwich NR4 6EJ. Registered in England no. 3072766. Entered on the Financial Services Register (www.fsa.gov.uk/register), Register Number: 179271
