You just bought your daughter or son a laptop and a new smartphone for Christmas and a new gun for your husband. Shortly after, your child dropped his new phone on the ice and the screen cracked and it is no longer working properly. That same week, your gun was stolen while you were gone for a long weekend. How are you going to be able to afford to replace them?
All home insurance policies come with personal property coverage. However, items like jewelry, guns, furs, and computers have coverage limitations. This coverage is very broad and doesn’t list specifically your belongings. Most home insurance companies have the option to list your items on your policy. These items are then considered scheduled personal property.
To schedule personal property means you list specific items you own on your home insurance policy. If items in your home get damaged and you file a claim, your insurance will only pay the amount that is reasonable to replace it. By scheduling items, you are making sure you get what you insured it for (replacement value or agreed upon value).
Popular items that people schedule:
- Hearing Aids
- Cell phones (not all companies will schedule)
- Musical instruments
- Collectables (coins, baseball cards, etc.)
- Laptops and tablets
Example: You have a fire in your living room, destroying your area rug. Most area rugs like yours run around $1,000. However, you had this rug special ordered from China and it actually cost you over $5,000. If it was not scheduled, you are only going to get what your insurance companies feel is a reasonable replacement cost of an area rug, which is only $1,000.
Most insurance companies will need proof that your items are worth what you say they are (i.e. a recent appraisal, or a recent bill of sale).
Scheduling you personal property is an additional premium to your home insurance policy. There is no general amount across the board that insurance companies charge. Each company charges a different amount to schedule your property.
The benefits of scheduling your personal property: you can pay no deductible or you can choose your deductible, you get full value for the items (replacement or agreed upon value), and you are insured for “mysterious disappearance” (you just misplace them and they are lost). Your items are pretty much covered for anything!
If you are unsure whether you should schedule your personal property or if it is even an item that can be scheduled, give us a call or stop by one of our three convenient locations!