Value insurance is set to cost on average 30 per cent less than the Standard product, but will only cover essential items.

The Standard policy, described as an upgraded version of Tesco’s existing home insurance, covers all the basics, whilst enhancements include no compulsory excess and includes £10,000 of extra cover at no additional cost.

Finest insurance is the most inclusive product of all three, with a series of supplementary features, including building cover, home emergency and ID fraud detection.

Head of Tesco Home Insurance, Jim Bruce said, “We’ve brought this range to the home insurance market to offer greater choice, clarity and value.”

Tesco also revealed figures from research they had carried out which indicated that by not switching their home insurance policies, Britons lost out on savings of £26 million last year.