Most people are collectors. Whether you accumulate books, jewelry, shoes, guns, coins, stamps or action figures, many people have an interest in collecting some item or another. Unfortunately, some collectors do not realize their prized possessions are not covered by their homeowners insurance policy in the event of damage or theft until they attempt to file a claim.
Standard homeowners insurance personal contents coverage typically limit reimbursement for items such as jewelry, artwork, fur coats, money or coin collections, guns, fine china and other collectibles to $1,000 to $2,500. Just one valuable item in any of those categories could easily exceed that limit. If a fire or break-in should occur, a standard policy is just not enough. How do you close that gap in coverage?
You should consider “scheduling” any valuable items you own on your current homeowner insurance policy, or think about purchasing a separate, collectibles policy for extensive collections. One great thing about scheduling an item is generally a deductible does not apply. For larger, more valuable collections, however, you may want to add a deductible to keep premium costs lower. To schedule an item, you must contact your insurance agent and provide them with a professional appraisal of the item or a detailed receipt. This can also speed up the claims process by not having to assess value after the fact.
If scheduling every single item in your collection seems like an extremely long, complex process, you can also consider obtaining a separate rider or endorsement to your homeowners insurance policy to cover these often excluded items. With an endorsement, you can increase the special amounts listed under the personal property coverage section of your policy and include items such as money and guns that would otherwise be limited.
Whenever you review or make changes to your current homeowners insurance policy it is a good idea to shop around and compare your coverage and rates to other policies. We can help you locate a number of quotes from a variety of providers, ensuring the policy you buy will offer the best protection at the most affordable rates. Contact us to find out more about scheduling your valuables, endorsements and savings on your insurance premiums.
Posted on Fri, March 31, 2017
by Starr Mathews Agency filed under