Do You Need Extra Coverage for High-Value Home Insurance Items?

Homeowners insurance is designed to protect your property and belongings, but standard coverage may not be enough for high-value items. If you own expensive jewelry, fine art, collectibles, or luxury electronics, it may be worth considering whether additional protection is appropriate.

Understanding Standard Policy Limits

Most homeowners insurance policies include personal property coverage, which can help cover the cost of replacing belongings damaged or stolen due to covered events like fire, theft, or storms. However, these policies often include sub-limits for specific categories of items. For example, coverage for jewelry theft may be limited to a set amount, regardless of the item’s actual value. Therefore, if you own a $10,000 engagement ring or a rare watch collection, your policy may only reimburse a small portion of the loss unless you’ve taken steps to increase your coverage.

What Are Your Options?

To better protect high-value items, many insurers offer endorsements or floaters. These are policy add-ons that allow you to schedule individual items for their appraised value. While this may come at an additional cost, it can offer broader protection and may include coverage for accidental loss.

When Should You Reevaluate?

It may be a good idea to reassess your coverage if you’ve recently acquired a valuable item, received an inheritance, or completed a home inventory. Keeping receipts and up-to-date appraisals can help streamline the process if you choose to add extra protection.

While no policy can eliminate all risk, understanding your coverage options and taking proactive steps may help you avoid unexpected financial gaps in the event of a loss.

Review Your Coverage Today

When it comes to insurance protection, high-value items deserve a closer look. Reviewing your current homeowners policy, assessing your belongings, and exploring additional coverage options may help you avoid unexpected gaps. Contact the team at AIP Best Rate Insurance to review your coverage today.

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.