“In polite society, we call our obsessions hobbies,” notes author Stephen King. So what are your obsessions/hobbies?
Do they involve a significant investment in collectibles? Expensive equipment? If your hobby is running, you probably don’t have additional insurance concerns. However, if you collect rare coins, build and operate radio-controlled vehicles, or restore and sell antiques, you likely have a lot more to consider.
If your home houses a hobby that is vulnerable to loss, it’s important to evaluate what insurance coverage you need. Limits on homeowner and renter policies may be too low, or the causes of loss that are covered might not be appropriate. These may not be sufficient to cover your hobby. For example, consider the following:
- The value of your items: does the total push you over your homeowners coverage limits? You might need to increase limits or add a policy.
- All the ways you could lose your collectibles: theft, vandalism, fire, etc. Do your current policies cover all the potential types of loss? If not, you may need to expand coverage.
- Any risks your activity may pose: does your hobby require any equipment that could be dangerous to others? You might need liability insurance.
- Whether it’s partly business: do you sell items from your home? You may need business insurance.
- Any unique risks created by your hobby: do you travel to trade shows with your items? Perhaps you need travel insurance, or additional liability insurance. If your hobby involves a single high-ticket item, such as an ATV or an electric guitar, you might need a separate rider to cover this item.
If you have a financial investment in your hobby, it’s important to insure it properly. Your insurance agent can help you determine what coverage you need for the best protection. Which is what it’s all about. After all, your beloved obsession is so much more than a toy!