Most homeowner’s insurance policies have limited coverage for personal valuables in your home such as jewelry, firearms, or electronics. This is why it is important to have an insurance rider or endorsement added to your homeowner’s or renters’ insurance policy. Insurance riders or endorsements for your personal valuables will give you better coverage and protection especially on high-value items. Below are a few common personal items that can be scheduled on a homeowners or renter’s policy:
Artwork, antiques, and collectibles –If you are a collector, get an appraisal to determine your collection’s value.
Firearms – If you have a high-value firearm or gun collection, you may want a rider. Your insurer may request serial numbers and other specifics for each gun and will likely require that guns are stored securely.
Electronics – Coverage for your computer equipment, high-end cameras, and gaming systems may be limited. If you’re a true technophile, add up the value of your electronics and check it against your policy limits.
Jewelry –If you have a larger collection or want to protect a piece against damage, loss, or theft, a jewelry rider might be right for you, protecting your valuables when standard coverage does not apply. If you lose your wedding ring in the garden, for example, that loss is typically not covered by a standard policy.
Keep in mind, some policies may provide coverage for your household items for what it is worth at its current age often referred to as “depreciation value”. On the other hand, some policies provide replacement value. That means you will receive the full cost to buy a new item of similar quality. It is important to talk to your independent agent and find out what type of coverage you have for your scheduled items.
Also, some policies require an appraisal in order to get a rider on high-value items. For example, when you want to schedule a high value jewelry item make sure to bring a detailed receipt from the purchase, or have your jewelry appraised. An insurance appraisal should describe all the particulars of the piece, such as the color and weight of the gold or the cut, color, clarity, and carat weight of the diamond and most importantly its value. Don’t forget to keep an up-to-date home inventory, and store copies of your receipts and appraisals in a secure, off-site location like a safe deposit box or the cloud. Learn more about the benefits of scheduling your personal valuables and what coverage options you need by contacting Paroubek Insurance today!
Source: Secura Insurance