If you have a homeowners or renters insurance policy, but you own specific high-value items like jewelry, technology, or art, you should talk to your insurance agent about how to insure those items specifically. If anything were to happen to your property, you would want to be reimbursed for their full value. In this blog we will talk about scheduled items and why you need to consider them individually when you make decisions about insurance.
What Does Homeowners Insurance Cover?
A standard homeowners policy covers these categories:
The dwelling itself
Other structures on the property such as the garage or a mailbox
Personal property
Personal liability and medical coverage
Loss of use of property
Most people assume that the personal property referenced above is all of the personal property in the home according to its value. However, there are limits to what a typical policy will cover. Homeowners insurance will typically replace furniture, appliances, and clothing, for example, but might not pay out the full value of jewelry, firearms, or electronics if they are stolen or destroyed. There may be limits on the dollar amount of coverage for unspecified items.
If you simply assume these items are fully covered in your policy, you may be in for a bad surprise if you come home and find your home has been burgled. If your homeowners policy will only cover you up to $2,000 in jewelry, that may cover only a fraction of what was taken, minus the deductible. This is what is known as special limits, or sub-limits, on homeowners policies.
What Are Scheduled Items on an Insurance Policy?
Scheduled items, or scheduled personal property, are items that are specifically included in a supplemental insurance policy for them to be insured at full value. This is optional coverage, and it provides full-value coverage for specific pieces of property.
Additionally, supplemental coverage for these items can be more comprehensive than it would be on a standard homeowners policy. If you break or lose your valued belongings, your homeowners policy will not typically cover their loss. A supplemental policy or endorsement on your current policy can be written or added to cover loss or breakage, however, and it may come without an additional deductible.
What kind of items do people insure separately? Anything of value can be insured, but the following are some good examples:
Art
Musical instruments
Antiques
Coins
Collectibles
Firearms
Jewelry
Computer equipment
Watercraft
If you own a number of valuable items, it’s useful to have an appraisal done from time to time so you can update their insured value with your insurance agent.
You may now have specific questions about scheduled items, how well your personal property is insured, and if your current coverage is enough to replace everything. Please contact us at Navisure Insurance Group. We will be happy to go over your coverage and make recommendations based on your risk. It may be an old cliche saying, but it is always better to be safe than sorry.
COREY VANDERMEER | PRESIDENT
Corey started his insurance career in the claims department for a national carrier and learned the basics of insurance coverage and how it’s applied. From there he decided to take the jump into sales and joined an independent insurance agency. Here he learned how to build coverage around the needs of each individual and cater to every client. When Corey decided to start an insurance agency he did so with the intention of simplifying the process of getting insured. With a focus on technology and simplicity; his goal was to create an insurance agency that was different from those currently dominating the market place.
When he’s not working, Corey enjoys golfing, fly fishing and spending time with his wife and kids. Together they enjoy traveling to Northern Michigan and to his wife’s hometown of San Francisco.