I’m buying an expensive gift for the Holidays- do I insure it?
We all know that as we near the holiday season, things can get a little crazy, before they finally become calm and comforting. The intense period of holiday gift shopping and preparation is awarded with the presence of our loved ones. All joyful and gathered around the table. Peace of mind is crucial in this special time. To ensure loved ones are safe, it’s important to look at your home policy and make sure they are covered in case of any unwanted incidents.
In this article, however, we will take a look at how you can ensure that the fruits of your holiday shopping labor are protected, so that they can be enjoyed for years to come.
You bought an engagement ring for your partner and think Christmas is the perfect time to hear the “Yes”?
Or perhaps you got your child the expensive digital camera they dreamed of after they got straight A’s at school?
It might be worth considering adding them as scheduled property to your homeowners policy.
What is scheduled property?
Scheduled personal property is an extension of your homeowner’s policy which allows for some extra peace of mind when it comes to insuring your valuables. Scheduled property coverage increases the coverage limit on specific items, usually removing the deductible for their loss.
Why do I need to schedule valuable items?
You might be thinking to yourself, “Is my personal property not covered by my homeowner’s policy?” Scheduling items ensures that your precious item’s value is taken into consideration in its entirety. Usually when your valuables are covered only by your personal property coverage, there are limits in place, anywhere between $2,000-3,000 for items of a certain type. For example, jewelry has a limit of around $2,500 for all items on a standard homeowner’s policy. Additionally. this is usually capped at $500 if the item is damaged or stolen outside of your property.
Having your valuables scheduled ensures this doesn’t happen. The full value of the item will be reimbursed, if it’s stolen or damaged anywhere, not only on your property.
How much does scheduling a property cost?
The cost of scheduled items insurance is approximately 1% of the item’s value. For example scheduling an antique harp worth $15000 will cost around $150 for the duration of the policy term.
Who needs scheduled property coverage?
If you know that some of your items exceed the sub-limits on your standard homeowner’s policy you should consider scheduling them.
Items that can be scheduled with most insurance companies include:
- Musical Instruments
- Silverware and goldware
- Fine Arts
- Sports equipment
- Rare collectibles (coins, books, cards, stamps etc.)
Scheduling an item is a perfect choice for professionals who often travel with their valuables. Whether you are a photographer, travelling with your expensive cameras, or a musician going on tour with your precious Stradivarius violin, you are covered, no matter where you are in the world.
How do I schedule my items?
Before scheduling your valuables it’s worth taking a look at your policy limits.
If you feel that some of your items can exceed your default home policy limits or you might need them on the road, it might be worth scheduling them. Some companies do not offer this policy endorsement, allowing for the addition of scheduled items. but might in turn allow to raise the default coverage limits on certain item types.
In order to schedule items your insurance company will send you forms requiring item description and valuation of said items. Usually if the price exceeds a certain amount an appraisal will also be required.
Shopping around for insurance and adjusting your coverages can be a tedious task.
Thankfully, Gabi is here to help! If you require any advice or assistance in making sure your coverages meet your individual needs, our licensed agents are here to help!