Personal Property Coverage for Your Valuable Belongings: Why Do You Need It?

Everyone knows what the word “scheduling” means most of the time. However, some industries use it as jargon that sounds more authoritative. In terms of insurance, “scheduling personal property coverage” means adding important coverage to an existing homeowners policy.

Meaning of Scheduling Personal Property

The act of scheduling personal property coverage is the same as adding a valuable endorsement to a policy, which equates to extra coverage. So, in this context, scheduling is simply a fancy word for adding unique coverage, such as for a restored classic car. You’ll need more than a standard homeowners or auto insurance policy because of the different risks involved.

Extra Coverage and What It Covers

Various endorsements exist to fit hundreds of scenarios for specific forms of accidental loss and damage. You should make an inventory list of your most valuable possessions and share it with your insurer to ensure each item’s value is protected. Some extra coverage plans offer zero deductibles on scheduled items. Here are some of the most common types of endorsements added to homeowners insurance policies.

Fine Art and Jewelry

Basic policies cover a certain amount of fine art against theft, vandalism, fire, and other disasters. Fine art and jewelry can be very difficult to price because their sentimental value is often higher than their fair market value.

A basic homeowners policy typically covers a lost or stolen engagement ring worth up to about $1,500. If the jewel is worth more than that, you should buy extra coverage. If the jewelry is worn by a certain individual in the household, their name must be listed on the policy for the policyholder to receive a benefit from a claim.

Old paintings and handcrafted art that relates to a loved one might be worth much more to family members than if the items were sold on the market. The same is true for jewelry handed down from one generation to the next.

Bikes, Cameras and Musical Instruments

While fine art typically requires endorsements, bikes and most other personal possessions are covered in a standard plan. Sub-limits apply to expensive equipment such as cameras and musical instruments if they are used for professional purposes. Depending on the value of the item, you may want extra coverage so you can make deductible-free claims.

What Extra Coverage Doesn’t Cover

Extra coverage on a standard plan pertains to raising coverage limits on personal items. If you run a home business, you’ll need business insurance to cover your office equipment. You cannot extend coverage for a personal plan on items that are used professionally. However, you can get extra coverage for your business insurance to cover items such as expensive equipment parts.

Every homeowner should think about scheduling personal property coverage to meet their personal goals. Contact us at Lou Aggetta Insurance for customized insurance coverage solutions for your personal property or business.