Home Insurance

Standard Policy Exclusions

Make sure your most important investment is properly protected.

No policy covers absolutely every disaster.  In fact there are a handful of standard policy exclusions that you should be aware of.  Coverage for these items can be purchased at extra cost.  Talk to your insurer about:

• Business property:  Personal computers, printers, copiers and other equipment used in a home business must be insured separately.  Get a rider attached to your homeowner’s policy. 
• Host liability:  The increasing number of lawsuits against hosts whose guests are later involved in alcohol-related accidents has lead to liability coverage through a special ‘host liquor’ rider.  Some policies may cover this under the standard regular liability policy. 
• Earthquakes:  The standard homeowner’s insurance policy does not cover earthquakes, although fire damage caused by an earthquake may be covered.  Special coverage can be purchased.  Costs vary according to the region. 
• Floods:  The standard policy does not cover flood damage.  Special flood insurance is available from the federal government for flood areas and from some private companies.    
• Valuables:  Policies always carry limitations for certain valuable items such as silverware, jewelry, furs, and cash.  You can insure these items by purchasing a separate policy called a floater.  Avoid policies written on a named-peril basis.  This means the insurance company will provide reimbursement only when the type of loss is actually listed on the policy.  Get ‘all-risk’ instead.