Protect Your Valuables with a Personal Articles Policy

Your home or renters policy can protect your belongings, but you may find coverage for some types of valuables limited. Fortunately, there is a way to insure valuables to their full value and protect the items most precious to you.

Insurance policies often use a structure designed to keep cost down. This means your policy may not protect against every possible risk and may not cover the full loss amount in some cases. As an example, your home insurance policy protects your belongings against several common types of losses, but your policy may limit the coverage amount for certain categories.

We can use jewelry as an example. Standard home insurance policies may limit jewelry coverage to a certain dollar amount which is lower than your overall coverage amount.

For instance, you might have a $100,000 coverage limit for personal property but only a $6,000 limit for jewelry. The actual coverage limits on your policy may differ from those used in this example. However, standard home insurance policies use sub-limits for several categories items, including jewelry, furs, computers, fine art, and similar categories of high-cost items.

In effect, a sub-limit reduces the amount of coverage you have, but only for items that fit specific categories.

But what If you have an expensive ring that is worth more than your sub-limit? How does coverage work if you invested in an expensive piece of art?

You can use a personal articles policy to insure specific items to their full value. In some cases, this type of protection, called scheduled coverage, may be a stand-alone policy. In other cases, you can add scheduled coverage directly to your home insurance or renters insurance policy.

By using sub-limits for certain categories of items, insurers can reduce the overall cost of insurance. After all, not everyone needs 100% coverage for everything in their home. In practice, this 100% coverage structure would make insurance unaffordable for many households.

Instead, a standard policy provides protection for most losses, while using sub-limits to keep insurance costs lower.

If you have valuable items, you can consider a personal articles policy or scheduled coverage on your existing home insurance policy to fully protect the items most precious to you.

By investing your premiums where you need the most coverage, you can insure your home and belongings more affordably.

 Contact you broker to learn more

 If you have valuables, be sure to review your coverage with your broker. You can customize your coverage to match your family’s needs while also protecting the cherished items most precious to you.
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