Is Your Homeowner’s Coverage Working for You?

Is your homeowner’s insurance still working for you?

Here are some things to consider before you purchase or renew your homeowner’s coverage.

If your home is a total loss, do you have enough coverage to rebuild? The majority of property claims result from partial damage to a home. If your home is completely destroyed, you want to have enough coverage to totally rebuild it.

Homeowner’s policies limit personal property coverage. Homeowner’s policies place limits on many types of personal property. If you have valuable guns, jewelry, watercraft and trailers, or computers, consider purchasing additional coverage.

Does your policy provide replacement cost coverage? Personal property is valued at replacement cost or at actual cash value. Replacement cost replaces your old damaged or stolen items with new at no extra cost to you. Actual cash value considers the age and condition of the item. Replacement cost coverage doesn’t increase your premiums by much but provides better coverage.

Are my children’s possessions covered while they are away at college? Your homeowner’s policy may provide limited coverage for your college student while he or she is living on campus; however, once your child rents an apartment in his or her own name, consider purchasing a tenant homeowner’s policy.

Do you work at home? Your policy may only provide limited coverage for equipment provided by your employer so you can work at home. Additionally, if customers or business associates come to your home on business, you may want additional coverage for this.

Is my boat covered? It depends. A small boat like a kayak should be covered under your policy, but for a larger boat you may need extra property and liability coverage through a boat policy.

Each company’s coverage differs slightly so it’s important you consult an insurance professional to be sure you get just the right policy for your own circumstances.