Insurance Spotlight

Make Sure Those Valuable Holiday Gifts Are Protected

Did you receive new computer equipment this holiday season? How about a new piece of jewelry? Musical instruments, high quality cameras, golf clubs and even fine art are popular gift items.

If you were given a valuable gift, you need to take steps to protect it against loss. Although most homeowners insurance covers a certain amount of personal property, many high-value items are excluded from your policy.

Some items you should consider getting additional insurance on include:

• Jewelry
• Furs
• Cameras
• Musical instruments
• Silverware
• Golfer’s equipment
• Fine arts
• Collectable stamps
• Rare and current coins
• Computer equipment

Ask us about protecting these possessions with what’s called a Scheduled Personal Property Endorsement, or a Personal Articles Floater. These endorsements allow us to list each article separately, and assign a specific value to them for which they will be covered. Be sure to tell us the true cost of your gift. Most endorsements insure for actual cash value or cost of repair. This won’t cover the total cost if you need to replace the item down the road. If you want to make sure coverage is adequate to replace it, you may want to opt for an agreed value loss settlement. That means that you and your insurance company agree on a certain amount to be paid in the event of a loss instead of the standard amount listed on the endorsement.

Fine arts are almost always insured under an agreed value, as they are usually unique and their value is difficult to determine.

As with most insurance policies, there are some things that aren’t covered, like damage due to wear and tear, or damage caused by insects. Please check with us to see if there are any exceptions in your policy.

For more information about protecting your valuable possessions, give us a call today. We will give you expert advice on how best to insure against loss.