Most clients know that jewelry insurance can be added to the Homeowners policy. Did you know that there is an optional coverage you can add called Agreed Amount? The purpose is to have the insurance company agree with the appraised value.

In the event the ring is lost, the insurance company cannot offer you less for your ring.

Sewer Back Up and Sump Pump Failure

This is one of our most common losses. The important question is how much coverage do you need? A finished basement needs to have a higher limit. This coverage applies both to the damage to the home and contents. Make sure you check the limit for these coverages.

Why is the dwelling limit so high?

The dwelling limit is high due to the cost to rebuild a home after a loss. We are not insuring your home for the Market Value. We insure a home for the cost to rebuild it new. Our values are going to be high. You should ask to see the valuation in order to see if the value is accurate. Most carriers will pay more than the dwelling limit if you add some type of guaranteed replacement cost endorsement. This is important as our values are an estimate. We try to determine the cost to rebuild your home, but are we correct?

Hail and Wind Damage to your roof, do we replace the entire roof, or just the part that is damaged?

Insurance companies are only obligated to put you back to where you were before the loss. They will limit your payment to the damaged portion of your roof. Will you get a new roof if only a portion of your roof sustains a loss? Probably not. You may be able to add coverage for undamaged siding or roofing to your Homeowners policy. This form limits coverage to replacing the undamaged sections only when siding or shingles are no longer available. Coverage does not include mismatching due to fading or weathering.

Ordinance and Law Coverage

An example of this is you have a home on the lake. You have a covered loss to the home which is destroyed and has to be rebuilt. If the local ordinances have changed since the home was built, now requiring the home to be rebuilt in a different spot. This ordinance ends up costing more to rebuild the home. Without Ordinance and Law Coverage, you will be paying for this increased cost yourself.

Power Surges

Yes, a direct hit by lightning is coverage on your Homeowners policy. But what about power surges that was not caused by a direct hit from lightening? Or what about brownouts where the current is reduced? You need to have Equipment Breakdown added to your home or your condo. This will include mechanical breakdown but does not include normal wear and tear of your equipment. Make sure you add this coverage.

Earthquake and Flood claims excluded but can be added

Flood or Surface Water losses excluded but a separate flood policy can be purchased. Especially if you have a man-made dam in your area. A new endorsement available is called Inland Flood. This form adds coverage to cover your home that is not subject to flooding, but you sustain an unusual and rapid accumulation of runoff of surface waters from any source including rainfall and ice melt. A walkout basement is a reason to consider adding this coverage.

Service Line Endorsement

This adds coverage for piping or wiring that provides services to your home. Must be underground. It can cover a leak, break, tear, rupture, collapse, or arcing from underground service lines. If you have an older home, you should consider this.

This is just a sample of some of the options you should know about. Talk to your agent to find out more.

John Linemeyer CPCU

If you have questions about your homeowner’s insurance coverage, Complete Insurance Services can help! We are an independent agency representing numerous insurance companies and specialize in providing personalized insurance coverage that meets the unique needs of families and businesses. Call us for a Free Quote and to learn more!