Should I List Items on My Homeowners Insurance?
Homeowners insurance is designed to protect your home and belongings from disasters and accidents. However, every policy has its limits. To ensure that your prized possessions have the best coverage possible, it's a good idea to review your coverage and consider scheduling your property. January is a great time to review your coverage and add items to your policy since you may have received wonderful and expensive gifts over the holidays.
Most homeowners policies carry coverage limitations on personal property like jewelry, silverware, firearms, musical instruments, antiques, and other high-value items. Unless your property is scheduled, or specifically itemized with a value on your policy, your home deductible will apply to a loss. Many people choose higher deductibles to reduce their monthly premiums. If you are one of these people, it is possible you may not receive a payment if your deductible is more than the amount of the loss.
Talk to your insurance agent about coverage and what you can do to safeguard your possessions. You may be able to schedule jewelry items at a nominal premium charge with no deductible. You may also have the option of scheduling your items on a replacement cost or an agreed value basis.
- Replacement cost coverage is when the insurer pays the cost to repair or replace the damaged or lost property without factoring in depreciation.
- Agreed value coverage is when each item has an agreed value which the insurer pays out in the event of a claim.
The advantage of scheduling specific items is that you have broader coverage without a deductible. If you have new high-value items such as jewelry, be sure to take it to an appraiser to receive an accurate value.
Are you ready to get started on the right
homeowners insurance for your needs? Visit the team at Little & Sons Insurance Services to get started!
