By: Douglas Motz/Douglas Motz Insurance Agency
During the holidays, homes are filled with Christmas gifts, which make a home more attractive to criminals. Be sure to keep your gifts out of view from the outdoors and keep windows and doors locked.
You may not have opened your Christmas gifts yet, but if you receive something that is of value, such as a new computer, gaming systems or perhaps an engagement ring, you might want to think about insuring it in case the unthinkable ever happens.
- Soon after you finish unwrapping your Christmas gifts you should take stock of what you own and how it’s insured.
- Regular homeowner’s insurance policies cover your personal property, both in and out of the home. You may need extra coverage added to your current policy since jewelry and other expensive items are only covered up to a certain amount. A rider or an endorsement allows the policy holder to increase the claim limit of a specific category.
- Certain gifts of value have limits on how much they can be insured. Many policies will only pay about $1,000 for theft of jewelry. So, if your engagement ring cost $5,000, your insurance policy isn’t even going to put a dent in replacing it. Many homeowners’ insurance policies put a dollar-amount cap on certain categories of property. So even if you have a large amount of personal property coverage on your homeowner’s policy, you might have a “sub-limit” of $2,000 for jewelry. In that case, a new pair of diamond earrings, combined with an engagement ring, might push the value of the jewelry above the limit. (Even replacement-cost policies have sub-limits for certain types of property such as furs and jewelry.)
- Be sure to ask your insurance agent/company what your current insurance policy covers. Clarify if it is enough to cover all of the new gifts in your home and if necessary, modify the policy.
If you’re unsure whether you have the proper coverage for your new items be sure to contact us.
Douglas Motz is the owner of Douglas Motz Insurance Agency; he can be reached at 760-200-0270 or www.DougMotz.com. License # 0F00702