Think about the most important personal property you own. A wedding set. Your wedding ring. A unique assortment of silverware. A gun collection. Did you know that your homeowners policy only covers specific limits for special items like those listed above and only for specific types of losses?
For example, the above mentioned items each have their own limits on your home policy. Jewelry is only covered up to $1,500, silverware up to $2,500 and firearms up to $2,500 per loss. We recommend scheduling unique and valuable items for several reasons.
Scheduled items are covered up to the agreed value of the piece regardless of any lesser limits listed on the policy. “Agreed value” is typically determined by an appraisal of the item or the market value of the item at the time it is scheduled. The insured and the carrier agree that the item is valued at that amount and that it will be repaired or replaced up to the scheduled limit.
Another benefit to scheduling valuables is the level of coverage available. An unscheduled item is covered for basic losses such as fire and theft. A scheduled item is considered “all perils” and is covered for everything from mysterious disappearance of all or part of the item to accidental damage caused by anyone, including the insured.
Lastly, the most common deductible for personal property on a homeowners policy is $1,000. Even if the damaged items are covered on the policy, they are still subject to that deductible. Scheduled items can have lower deductibles and many times you can purchase the coverage without a deductible. The premium to schedule personal property varies, so speak to your agent about scheduling your valuables.