Home insurance policies protect most things in your home. However, they don’t provide coverage for some items, especially expensive items that are stolen or damaged. For instance, for lost jewellery, the insurance covers £1000-1500. This limit helps keep homeowner’s policies affordable. That means, if your jewelry valued £3000 is stolen, and you have only a £1000 coverage, you’ll be compensated for jewelry worth £1000 from your insurer.
Fortunately, one can increase the coverage of their valued items through insurance endorsement. This is an additional premium that provides protection to highly valuable items, including antiques, jewellery, collectibles, valuable carpets, etc. However, most people are hesitant about paying for this coverage. That’s why we’ve written the below tips to help individuals decide whether they need valuable items coverage.
Understand Your Insurance Policy
This is a document between an insurer and their customer. It includes information on how much one will be compensated should their items be damaged or stolen. One should read this document carefully to know which items will be covered and those that are not included. Some people may have other valuables that they wish to be covered. If that’s the case, then contact your insurance agent.
Determining the value of some items such as jewelry and collectibles is difficult. In such cases, you should have them appraised by a professional as it’ll help you decide whether you need additional coverage. An appraisal helps individuals determine whether their homeowner’s insurance provides full coverage of their property. One should also have their items re-appraised regularly, especially for possessions whose value increases periodically.
Design a Home Inventory
Knowing what you exactly have will help you decide whether you need additional coverage. One should, therefore, take count of their possessions by writing an inventory. Check all areas of your home, including the garage, attic, or basement for stored items that may be of high value. Make sure that you have all the items listed and, when possible, keep copies of receipts or appraisals. This will help when filing a claim with your insurer.
Understand the Level of Crime in Your Location
Individuals who stay in areas where the crime rate is high need additional coverage for protecting their valuables. Often, police departments inspect and track crime activities in a neighborhood and share this information with the public. However, one can also ask the police department of the rate of burglary in their community. It’s also wise that you install an alarm system as it may help you get a homeowner’s insurance discount.
Know the Value of Your Electronic Equipment
Because we live in a high tech world, many people rely on electronics to maintain social connections and perform their jobs. That’s why yearly, there’s an upgrade of old gadgets and an introduction of new devices. Therefore, individuals who have expensive computers or other electronics in their homes should ensure that their insurance policy will cover their loss. It’s therefore wise that you know how much value each gadget has by keeping receipts or doing an appraisal.
Homeowners should discuss the insuring of valuable items with their agents whenever they buy a homeowner’s insurance policy. Also, those who purchase additional coverage for valuable items should understand the limits and exclusions.