Insurance Tidbits:

Are Your Valuable Possessions,

Including Jewelry, Insured?

I recently received a phone call from a friend of one of my clients.  She shared with me that their home had been burglarized and over $10,000 in jewelry had been stolen.  She was discouraged because her insurance company only reimbursed her $1,000.  Unfortunately, this is a very common occurrence, and one that could have been avoided.

Many people are unaware of the limits of their homeowner, condo, or renter policies.  These policies typically provide limited coverage for theft of valuable items.  These items may include, but are not limited to jewelry, furs, silverware, artwork, cash, and imported rugs.  Coverage for these items will usually range between $100 and $1,500.

If your valuables are worth more than the limits stated in your policy, you should consider a personal article floater.  These floaters are added to your policy and increase the coverage to help ensure you have adequate protection.  Most floaters also offer “all risk” coverage which means that they offer broader coverage than available under your standard policy.

A good example would be a floater covering a valuable painting.  If the painting fell off the wall and was damaged, there would be no coverage under a standard homeowner policy.  However, if the same painting were covered under a personal articles floater, coverage would be extended. 

Floaters can be scheduled or unscheduled.  A scheduled floater is usually designed to cover a specific item(s).  The items are specifically identified and described.  An unscheduled floater usually covers a group of similar items, but does not include a description of each item.   Depending on your needs, you should consult your agent to determine which type of floater is best for you.

Jon Gardner, CPCU is an Insurance Agent with Farmers Insurance who offers complimentary insurance evaluations.  His office is located at 27907 Smyth Dr., Suite #101 in Valencia.  He can be reached at (661) 775-9244