Home Insurance Myths Explained

Home Insurance Myths Explained

Revealing the truth behind these common homeowners insurance misconceptions.

If you are struggling to manage and understand your home insurance, then the last thing you need is for misconceptions and lies to further complicate things for you.  To ensure that you are not misled, here is the truth behind some of the most common home insurance myths.

Myth 1- All My Personal Belongings Are Covered

Just like any other form of insurance, homeowners insurance has its limitations.  While all standard home insurance policies offer some coverage for your personal belongings, this coverage is subject to certain coverage limits.  This means that high-ticket items, such as valuable art or fine jewelry, will not be covered under a standard home policy.  You will have to secure specialty insurance, such as a scheduled personal property policy, to cover these items.

Myth 2- My Policy Protects Against Every Natural Disaster

While it’s true that your home insurance will offer coverage for the damages caused by wind, hail, rain, lightning strike, and so on, this does not mean that you are covered for every type of natural disaster.  For instance, all standard policies exclude coverage for floods, earthquakes, mud and landslides, pest infestations, and so on.  Homeowners will need to secure specialty coverage or policy endorsements to protect against these specifically excluded perils.

Myth 3- Lowering My Premiums Means Lowering My Coverage

While you may assume that the only way to lower your rates is by reducing your coverage limits, there are other ways to make your home insurance more affordable.  For instance, making safety upgrades to your property, accessing discounts, bundling your policies, and raising your deductibles are all ways that you can save without compromising your coverage.

This is an explanation of the most common homeowners insurance misconceptions.  For assistance with all of your home coverage needs, contact the experts at Steve Wilk Insurance.  Check out our new office at 310 S Main Street, Suite C, Lombard, IL 60148.