A standard homeowners policy includes coverage for the items inside – including valuables like jewelry, artwork, firearms, and more – lost by perils such as fire, windstorm, theft and vandalism.
However, to keep coverage affordable, there are special limits of liability – a limitation within your policy wording that states how much the maximum will be paid for certain predefined items. For instance, since jewelry is easily stolen, the standard policy limit of liability for theft is $1,000 – the maximum that would be paid out with a standard insurance policy, no matter what the value of the stolen piece itself actually was.
If you own valuables that would be difficult to replace worth more than your single item limit, make sure that they’re adequately covered too! There are two ways you can increase coverage:
Raise the limit of the liability on your existing policy. This is the less expensive option; however, the amounts are still limited for both individual pieces and overall losses.
Purchase a floater policy and “schedule” your valuables. This option, while more costly, offers the broadest protection for valuables. Floaters – available with both individual item and blanket coverage – cover losses of any type, including accidental losses your homeowners insurance policy may not cover, like dropping your ring down a sink, or leaving an expensive watch in a hotel room. Before purchasing a floater, the items covered must be professionally appraised.
Consider adding valuable items coverage if you have any of the following worth more than the single item limit of your existing policy: