Insuring Valuables

Did you receive expensive jewelry for Valentine’s Day? Did you recently invest in fine art?

Your valuables are important to you—and insuring them is equally important to prevent serious loss in the event of damage or theft. Learn more about how to protect the finer things in life with additional coverage.

The Basics

Standard homeowners', condominium's, or renters' insurance policies include limited coverage for jewelry and other valuable items. However, many policies limit the dollar amount of coverage for theft or loss due to a covered peril of such items. To properly protect certain types of valuables, additional coverage is available through a policy endorsement or floater.

Endorsements

Endorsements are additions to your homeowners, condominium or renters insurance policy that change or add to the policy’s provisions. The endorsement can cover property otherwise excluded from a basic homeowners insurance policy, extend the number of perils included, or increase the amount paid for a covered loss. The items of value are “scheduled” on a list that includes a brief description and the item’s dollar value.

An appraisal or sales receipt is typically required to determine each item's value. This will help ensure that, in the event of a covered loss, the amount of insurance is enough to cover the repair, replacement or cash payment of the item. Items scheduled are typically not subject to the policy deductible.

Floaters

A separate personal articles floater policy may be used to schedule your valuable property, which is subject to special limits under basic homeowners' coverage.

Once you have an endorsement or floater, it is important to periodically review your policy’s coverage limits to minimize the likelihood of being underinsured due to outdated appraisals and inadequate insurance limits.

The Cost of Insuring Valuables

The cost of coverage depends on the item, but typically, the fee is nominal. Hylant’s personal lines team of professionals can provide you with more information about coverage and an estimate for the cost of scheduling an item.

Related Reading: Does Your Insurance Cover You if the Unexpected Happens?

The above information does not constitute advice. Always contact your insurance broker or trusted advisor for insurance-related questions.