Common Exclusions in a Home Insurance Policy
Your homeowners’ insurance covers several types of losses, including those related to your home’s structure, personal possessions, etc. However, events that aren’t covered by basic homeowners insurance will have to be covered with an additional policy. Reading through any policy before purchasing it will let you know what is covered and what is not.
The following are a few items/incidents which a standard home insurance policy may not cover.
Certain Natural Disasters
Certain natural disasters like floods, earthquakes, and hurricanes don’t occur in every area of the country. While some places may not experience any of these disasters, others may experience them all. This is why each type of disaster needs to be covered with a separate insurance policy. Your insurance agent will help you identify which types of policies you will need. They will also help you determine your level of risk so you can get the right coverage. Unfortunately, many people don’t realize they are in areas affected by certain disasters until it’s too late.
If you run a home-based business, you will need to purchase a separate policy solely for your business. This is because each business has its own specific types of risks that go beyond the coverage offered by standard homeowners insurance.
Insects and Rodents
Bed bugs, termites, rats, and mice, can cause significant damage to your home and personal possessions, which isn’t covered by most homeowners insurance policies. Part of the reason for such exclusion is that such infestations are preventable. Having a pest control professional treat your home regularly can help you keep pests and rodents at bay and protect your home from damage.
Poor maintenance can lead to plumbing problems, roofing issues, and many other problems like water damage and black mold. Taking proper care of your home will prevent such breakdowns. Inspecting your roof, plumbing, and other vital systems is the best way to prevent damage. With proper care, your home will remain in good condition for many years to come.
Collectibles and High-value Items
While your homeowners’ insurance will cover most of your personal possessions, it won’t cover your high-end items. Collectibles, fine jewelry, antiques, and items that have been appraised at a higher value than what you bought them for will normally not be covered by a basic homeowners insurance policy. Instead, you will have to purchase additional coverage to secure them for their true value.
When you have questions or concerns about your homeowners insurance and what it may or may not cover, call and talk to our agents at Club Agency Insurance Brokerage. We will review your policy to ensure that you have all the coverage you need, including coverage for your home-based business and other valuables. Our agents have the experience to help you find the right policies for all of your special needs, including natural disasters and high-end items.