You experience a power surge at your home and everything plugged in gets fried – including your big screen TV and electronics. Are you covered with your standard homeowners policy?
What about if someone spills a glass of wine all over your brand new area rug, or perhaps you spill bleach on your couch on the way to the laundry room? Does your policy cover you for those losses?
Someone has a little too much to drink at your summer party and accidently knocks over your entertainment center, breaking your TV and stereo system? Will you be covered?
Standard homeowners insurance policies do cover personal property within your home, but often only to a certain limit and from specific causes of loss, or perils. What about our examples? Do homeowners policies cover you in the event of spilled wine or bleach, a power surge, or an intoxicated friend? There most likely isn’t a named peril of “spilling wine” or “drunken party guest knocking over entertainment center” on your policy and often “power surge” to electronics is excluded. Unfortunately, if these are not listed as covered causes of loss on your policy you are out of luck.
Adding a special personal property endorsement to your homeowners policy can help protect your belongings in situations like these. The endorsement is a broadening of covered perils for the contents of your home. Your standard policy only covers for causes of loss specifically listed. The endorsement expands that list to include additional causes, helping to more properly protect your possessions.
What coverage is right for you? First, you should take time to understand what your homeowners policy covers. What limits are in place regarding personal property? What perils are covered? What perils are excluded? Once you know what’s covered you will have a better understanding of what areas need additional coverage.
Your personal property deserves special insurance treatment. In order to ensure you are properly insured, it is important to consider special personal property coverage. The endorsement can be an affordable option to protect your possessions and it will provide you with peace of mind.
If your homeowners insurance policy is with Gibson, you likely have this added protection. It’s an agency standard requirement because we feel it’s that important. However, if your policy is not with us, you should consult your agent.
