When your home is severely damaged by a fire, storm, or a flood, it can be incredibly expensive to replace all of your belongings that were lost. And depending on the sentimental value of your personal items, some of them may even be irreplaceable. Luckily, having dependable homeowner’s insurance will help to protect the value of your treasured belongings in the event of a catastrophe. However, don’t assume that all of your items will be covered under your policy, or that you’ll be covered for the full replacement cost of your belongings. Before disaster strikes, be sure to consider the following to make sure that your most beloved possessions are protected.
If you rent your home or apartment, there’s a good chance that your personal property isn’t covered under your landlord’s insurance policy. In the event of damage by a fire or storm, the apartment building may be covered under their policy, but your personal items won’t be. Consider investing in renter’s insurance, which will insure your belongings for a small premium.
Your homeowner’s insurance will not cover any losses due to flooding. Especially if your neighborhood has a high flood risk, you will want to add flood insurance to your existing policy to ensure that you’re protected.
Document Your Possessions
Take pictures of and save the receipts for any valuable items you own. In the event that you need to make a claim to your insurance provider, having evidence of the value and condition of your possessions will make it much easier to be reimbursed for your losses.
Scheduled Personal Property Coverage
Be aware that your personal property coverage under your insurance policy is capped to a specified maximum value for certain items. For example, if your policy only covers jewelry worth up to $1,000, and you own a $10,000 engagement ring, you will not be covered. Adding scheduled personal property coverage to your policy for extremely valuable items will ensure full coverage for your belongings. And if you’re not sure how much your jewelry is worth, take your items to your local Richmond jewelry store for an appraisal.
Cash Value vs. Replacement Cost
Your insurance policy may not cover the full replacement cost of a lost item. In case of a personal property claim, your insurance may either reimburse you for the cost of replacing the item with a brand new one, or for the cash value of the item – meaning what you could expect to receive for the item if you sold it at a yard sale or online.
Insuring your valuables may be an additional monthly bill, but if you’re concerned about losing them in a natural disaster, you’ll want to protect your belongings now before it’s too late. If you don’t already have homeowner’s or renter’s insurance, shop around online for a policy that’s right for you. And if you’re already insured, make sure that your personal property is being adequately covered by your policy.