What Homeowners Insurance Doesn’t Cover: You Might be Surprised

April 10th, 2017

Homeowners insurance is an invaluable investment that helps to secure and protect your home, and the items within its walls. However, while insurance will protect your home from a variety of things such as theft, as well as fire and wind damage, there are many things that homeowners insurance doesn’t cover that often surprises homeowners. It is important that you are aware of what your homeowner’s insurance does cover, so that you are not surprised by a rejected claim. If you are wondering what homeowners insurance doesn’t cover, here are a few common things not covered by your insurance that homeowners find the most surprising.

Earthquakes
Many homeowners who live in earthquake prone areas like California assume that their homeowner’s insurance will protect them should their home be damaged or destroyed in an earthquake. However, many California homeowners are surprised to learn that their insurance policy does not cover damage caused by earthquakes. The only way to ensure that your home is protected should there be an earthquake is to invest in a separate earthquake insurance policy. This can be a wise investment to protect your greatest asset if you live in regions where earthquakes are common.

Flood Damage

Similarly to earthquakes, flooding is another disaster that is generally not covered by standard homeowners insurance policies. Additionally, the type of flooding generally does not matter. Whether the flooding is a result of a hurricane, intense rains, or a local dam breaking, you likely are not covered by your insurance policy. If you have experienced flooding in your home before, or you live in an area where flooding is common, you will likely want to invest in separate insurance to protect your home against flooding. However, depending on the area in which you live, flood insurance may not be available. You will want to look into whether you live in an area designated for flood insurance.

Termite Infestations
Termite damage is one of the most common types of damage that plagues homeowners. In fact, termites cause an estimated 5 billion dollars in damage to homes in the United States each year. For this reason, homeowners are often shocked to discover that their termite damage is not covered by their homeowner’s insurance policy. This makes it particularly important that homeowners protect their home against termite damage in the first place so that they do not end up with costly damage. Having your home sprayed and inspected regularly by a licensed pest control company is one of the best ways to prevent termite damage in your home.

Jewelry and Fine Art
One of the main reasons people invest in homeowners insurance is to ensure that their belongings are protected in the event that their home is burglarized or destroyed by fire. However, there is often a limit to how much your insurance policy will cover, and your policy may not protect expensive items such as jewelry, fine art, and collectables. For valuable items such as these, it is often necessary to have a specific insurance rider. For certain expensive items, you may even want to consider a separate insurance policy protecting them, such as jewelry insurance for your wedding/engagement ring.

Homeowners insurance is an important investment every homeowner should make in order to protect their home. However, homeowners must be aware of the limitations of homeowners insurance so that they are not caught surprised in the event of an emergency, and so that they can make plans now to protect their property from disasters that homeowners insurance does not cover. Contact us to learn more about what homeowners insurance covers, what it doesn’t cover, and what you can do to ensure that your home, and your possessions, have the greatest protections possible.

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