Home Insurance: What ISN’T covered?

You May Think Toys are Covered on your Home Insurance.

Hold That Thought!

As kids, we love toys because they give us options to explore and learn. As we get older, our toy selection changes. Instead of playing with the remote control boat, now we have a real boat to take out on the water. Do not make the assumption these adult toys are covered under a home insurance policy!

What does a home insurance policy cover?

First, let’s simplify your homeowners insurance coverage as much as possible. Basically, a home insurance policy provides coverage for damage to your home and personal belongings, along with liability coverage.

Next, what is classified as your home? Your home is the dwelling and other structures. The dwelling is the home itself and anything attached to it. An attached garage, deck, or porch are all included in the dwelling coverage. Buildings on your property not connected are classified as other structures. A detached garage, shed, or fence are the most common examples.

What classifies as personal property?

Furthermore, we need to know about personal property. Every homeowners policy provides coverage for your personal property. However, what classifies as this? You can potentially have several toys which you believe are personal property, but are not covered on your homeowners insurance.

Personal property is your contents and belongings. Essentially, if you take your home & buildings and flip them upside down, everything that falls out is your personal property. However, what about larger items that maybe stored in a garage?

What are toys that are not automatically covered?

Let’s talk about toys. These items would NOT be automatically covered:

  • ATV
  • Boat
  • Golf Cart
  • Motor Home
  • Recreational Vehicle
  • Snowmobile
  • Travel Trailer
  • Watercraft

If there is any physical damage to these items, there is NO coverage unfortunately. The only exception is some homeowners insurance policies do have very little coverage for watercraft and trailers. They can have a couple thousand dollars of coverage. However, the coverage is very minimal. Replacing it would cost more than the coverage provided. The liability for your belongings does not extend from your homeowners insurance either.

There are two benefits of specifically adding the item to your home insurance. One, you can have liability coverage. Two, there will be proper coverage for the value of the item. No one wants property stolen or damaged. It definitely is not the time to find out there is no coverage, either!

Let’s take an example.

You may be asking yourself…what about my lawnmower or my 4-wheeler I use to spray fruit trees in the backyard? Home insurance automatically covers these. Why? They help maintain the home.

Kind of confusing, right?

Are you wondering if there is coverage for your toy on your homeowners insurance? Ask yourself. Does it help maintain my home? Is it a toy used for recreational purposes?

Keep this in mind! Your insurance professional is not notified about your toy purchases until you tell him or her. As a result, you will need to communicate it to them. Please reach out to your independent insurance agency to make sure your new toy is properly covered!

As you can see, there are many pieces that go in to proper coverage for your home, personal property and toys. If you want to experience what it is like to work with an independent insurance professional, we would enjoy the opportunity to work with you.

Thank you to Dominic, Insurance Professional, for providing the content in this blog.