When you need to schedule jewelry, collectables or other valuable possessions
Homeowners, renters, and condo policies include coverage for personal property such as furniture, clothing, housewares, etc., but what if someone steals your treasured family heirloom, your coin collection is destroyed in a fire or you lose your engagement ring? Items like these likely need to be schedule on your policy for them to be fully covered in the event of a loss.
To properly protect your belongings, our team at Bearingstar is here to help you understand what coverage you may need to protect your valuable property.
Why do I need to schedule jewelry or other valuables?
While your homeowners policy may include coverage for personal items and valuables, most policies limit the dollar amount of coverage for loss of these items. If the value of the item exceeds the limit of coverage on your policy, there is no coverage for the difference. So if you had to file a claim involving your $5,000 wedding ring and your policy limit was $2,000 on jewelry, you would only receive the limit of $2,000 leaving the remaining $3,000 unrecoverable.
Also, for some policy limits, the set amount would be the total coverage of all jewelry. If someone were to break into your home and steal every piece of jewelry you own, would the limit of $2,000 be enough?
What items besides jewelry should I schedule?
If you own anything of value that surpasses the designated limits in your policy like costly computer equipment, an expensive antique, or a professional camera, you should look into scheduling those items to make sure they’re insured at their full value.
Here are some belongings you might want to consider for this added coverage:
- Jewelry and furs
- Art and antiques
- Stamp or coin collections (any collection that significant money has been spent)
- Musical instruments
- Expensive cameras
- Expensive computer equipment
- Silverware and/or expensive china
Do I need a recent appraisal of my scheduled item?
Yes, most insurance companies require an appraisal typically within the last 5 years or sooner. Even if your insurance company doesn’t require an appraisal or regular appraisal updates, you might want to get them anyway to be sure you’re insuring your valuables to their full value.
Sorry, a sale receipt will not do.
Insurance companies won’t accept a receipt of purchase as a legitimate measure of value. It doesn’t matter how much you paid for your jewelry. When writing a policy or paying a claim, the insurance company relies on the actual appraised value, not the cost.
What is blanket coverage?
This is different than scheduling individual items. You can often add an endorsement to your home insurance policy that increases the sub-limit for certain classes of valuables. Blanket coverage is an easy way to purchase extra protection typically without sending in an appraisal for every piece of jewelry. Let’s say you estimate your total collection of a certain item to be $10,000, which consists of many pieces valued between $500 and $2,500. Then blanket coverage may be an excellent way to go.
Are there other benefits to scheduling valuable possessions?
Yes, scheduling can come with a few additional benefits. It can offer you broader protection of your valuables and may cover additional risks, including accidentally losing your belongings, which isn’t typically covered by a standard homeowners policy. Another benefit is not having to pay a deductible in some cases. You also may have the option of choosing a lower deductible or no deductible for the scheduled items you are adding.
To determine if you have any expensive items that need additional protection we suggest you complete the following two things:
- Review your policy with your Bearingstar agent to help identify the sub-limits for certain types of personal property.
- Take a home inventory or your personal belongings to see if you own anything that exceeds those sub-limits and needs to be scheduled.
At Bearingstar, we’ll work with you to find a policy that covers not only your house but also your prized possessions. Your local Bearingstar agent can help answer questions about coverage options for your belongings so you can choose the protection that fits your needs. Contact us and get started today!