You don’t have to insure every item you own. But when you have certain possessions of high value, loss or damage to these items can be a big blow since the cost of replacing them would be a lot. And that’s where insurance would come in.
Homeowner’s Insurance Won’t Cover Everything
If you’re getting a homeowner’s insurance policy, it’s probably to protect your house and your possessions. But make sure you look carefully at the details of your policy.
Most homeowner’s policies have a “personal property” section that covers your belongings, but there are limits to the amount of coverage your belongings will receive, and every item won’t be covered.
In general, items such as jewelry, artwork, and furs are excluded under a standard homeowner’s policy. You may have to purchase an “all-risk” policy or a separate policy to cover these types of valuable items.
Check with your insurance agent to find out exactly how much coverage you have for your valuables.
It’s Best to Get Your Valuables Appraised
You may have some expensive items in your home, but you might not know just how much they’re worth. If you don’t know the actual value of your stuff, it can be hard to know if you have enough coverage.
Before you buy home insurance, you should get an appraisal done on all the items you want to insure. An appraiser will tell you the actual value of your stuff and give you an idea of how much coverage you need.
Make sure to tell your appraiser the condition of your items and the types of repairs and maintenance they’ve had. If you’re thinking about having something fixed, don’t fix it before the appraiser looks at it.
And make sure you get two appraisals, just to be safe.
Proper Documentation Is Crucial
Proper documentation can help you get the coverage you need. Get receipts of all the money you spend on items.
When you make a major purchase, ask the store you’re buying it from to give you a presentation on their insurance products. Tell them you’re shopping around and ask them to put together a package that would insure your items.
Keep your receipts, and if you buy an expensive item, take photos of it. Take photos of all the rooms in your house and show them to your insurance company.
Take a video of your entire house and all of your valuables. If a fire or flood happens, your insurance company will hire an appraiser to determine the value of what’s been damaged.
This is the appraiser’s job, but you can help them by providing them with as much information as possible about the items you own.
Make Sure You Fully Understand Your Insurance Policy
Even though you already know what your policy covers and doesn’t cover, you should sit down with your insurance agent and have a conversation about your valuables.
The more information you have about your insurance, the better it is for you. It’s always good to have an agent you have a good relationship with. Working together, you can build a policy that will give you the proper coverage for your valuables.
If you have items of high value in your home, you should seriously consider insuring them. It might cost you a little more money to get insurance coverage for these items, but it’s worth it when you consider how much you could lose if these items are damaged, stolen, or destroyed.
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