When you buy a homeowners insurance policy, you expect to be fully covered. Basic homeowners policies, however, may not cover as much as you think they do. In fact, they may leave you without coverage in a few important areas. If you aren’t sure of what your policy covers, it may be time for a review so that your insurance provider can go over your coverage with you.
General liability protects you if someone is injured while visiting your home. It also offers coverage if their property is damaged in any way. General liability will protect you from having to pay for these damages out of pocket, but they do have limits. You need to know how much coverage you have and what your exact limits are in terms of liability, both personal and property. Liability costs can be exceedingly high, especially if you consider medical expenses associated with a personal injury claim.
Antiques, Collectibles, and Other Valuables
While your homeowners coverage will cover the cost of an item, it may not cover its replacement value, especially if they are worth much more than similar items. Antiques, collectibles, fine jewelry, and expensive works of art should all be covered by an additional policy protecting their appraised value. Many items may be irreplaceable, but you can still be financially reimbursed if something happens to one of your items.
Various Natural Disasters
Your basic homeowners policy will not cover many of the most common natural disasters. If you live in an area that is prone to hurricanes, floods, or earthquakes, you will need to purchase additional coverage to protect your home and property. If you are unsure if these types of policies are needed in the area where you live, you can discuss your options with your insurance provider. In some areas, you may not have to worry about any of these issues. Other areas may require coverage for all three.
The Benefits of an Umbrella Policy
An umbrella policy is beneficial because it picks up where your traditional or more basic policies leave off. A good example of this is a personal injury claim; if your cap is $100,000 and the claim is for $150,000, you would be responsible for paying the overage. With an umbrella policy in place, you would be fully covered with no out-of-pocket expense. Your insurer will be able to help you understand what your basic coverage includes and what additional forms of coverage you may need.
Scheduling a policy review with your agent is the best way to find out what your coverage includes. Contact our agents at Steve Wilk Insurance Agency Inc. if you have any questions. We will go over your coverage with you to ensure you have all the protection you need for your home. Call to set up an appointment as soon as possible so you can get the peace of mind you deserve.