Are You Sure That Heirloom Oriental Rug From Your Aunt Hilda Is Really Insured?
|
Gone are the days of the cinder block and wood plank bookcases. You've come along way from that old reliable jut rug and CDs (or in some cases, actual vinyl albums) stored in milk crates. That's the way it is with first apartments, and sometimes second and third apartments too. It's what you were able to afford when you first set out own your own. And it was fun, sort of. But today's a new day, and you've paid your dues and then some. You're the king or queen of your own castle, a castle as well-appointed as any luxury model home, with beautiful area rugs, antique furnishings, and other treasurers that you'd hate ever to see lost.
Because your home, and to a certain extent the items in that furnish it, will most likely be the best investment you're likely to make, it's important to protect this investment and those items that enhance it. The simplest way to do this is to make sure that you are carrying adequate insurance coverage on your home and its furnishings.
How Much Coverage is Enough?
Determining the amount of coverage needed is crucial. Say, that beautiful oriental rug once belonging to Great Aunt Hilda has finally come to rest in your hands, only to be irrevocably damaged when someone at the party you're hosting spills Merlot on it. Other than frantically going at it on all fours, with club soda and Baby Wipes to the delight of your guests, what would you need to do in order to be "made whole" again, and most importantly, stop Great Aunt Hilda from spinning in her grave?
First, if you own your home and have a mortgage on it held by a bank, then you will be required to maintain adequate coverage on the "dwelling," the actual building which makes up the structure of your home for the life of the loan. The lender recognizes the value of this investment, and will make sure that their investment is protected by requiring it be adequately covered by insurance. But how does this insurance coverage extend to Great Aunt Hilda's prized Persian rugs and all the other furnishings that adorn the inside of your castle/home?
Estimating Value
An insurance agent writing a policy on your home will probably leave an estimation of the value of your home's contents to your discretion. Your insurance agent may even ask you directly: "How much do you think your household contents are worth?" Following this query with yet another you may or may not feel qualified to answer: "Is that replacement or actual estimated value?" Your agent may encourage you to opt for coverage that allows for those lost items to be either made whole again either by: repair, replacement or receipt of cash payment--as most common household furnishings (other than fine art and other collectables), depreciate considerably in value with time.
But what about those two rare oriental rugs left to you by dear Aunt Hilda? Will you be expected to determine the value for these items? Well, not exactly. It's one thing for you to estimate the value of last year's CD player for $129, when it's costs may be closer to $89, and quite another for you to estimate the value of a pair of rugs at $5000 each. Because you are limited to $1000 coverage per theft on these types of items when claimed under your Homeowner's policy, an estimation of $5000 for each rug under your standard policy would only you provide with $1000 worth of coverage, for items you say are worth closer to $10,000. That's why you may want to consider covering such items, those you value at over $1,000, with a Schedule to your Homeowner's policy.
- So, what is a Schedule?
It's a list of items which may not receive adequate coverage under your standard Homeowner's coverage. - Who should consider a Schedule?
If you own fine art, rare collectables, guns, jewelry, silverware, and fine area rugs, you might very well benefit by having a Schedule added to your policy. - Do Schedules cover loss other than standard peril?
Items listed on the Schedule are subject to broader coverage-beyond fire and peril--than those provided for under the standard Homeowner's policy. Schedule items include coverage for accidental and unforeseeable occurrences: like rugs permanently stained by Merlot. - Are Schedule items included under the deductible?
A Schedule also benefits you because these items are not subject to a deductible. - What proof needs to be provided to add a Schedule to your Homeowner's policy?
To include a Schedule to your homeowner's policy, will be asked to substantiate the value of each item to be included on the Schedule. This can be provided in the form of certificates of authenticity, sales receipt or by appraisals.
Whether or not your household items merit the inclusion of a Schedule should be determined by you, the homeowner, assisted by your insurance agent. This way, with a little additional coverage, your Aunt Hilda's treasured rugs may exist to be passed on to the next generation.
Willett Thomas (willett_thomas@yahoo.com)is a freelance writer living in the Brookland section of Washington, D.C.
|
|
|
What Answers To Questions For A Home Insurance Price Quote Will I Need To Know?
Lets face it, finding the best home insurance price quote can be an aggravating task if you're not fully prepared with answers to the common questions that most insurance companies will ask. This article outlines the questions that an insurance agent will...(related: Insurance)
Health Insurance Providers Online - Benefits To Applying Online
Health insurance providers are going online to find new customers. As a result, there are more affordable health insurance options for families, the self-employed, and small b...(related: Insurance)
The Immorality Of Guarantee Issue Health Insurance
While there are genuine debates about whether privatized health insurance or nationalized health insurance policies make more sense, there can be little doubt that gua...(related: Insurance)
Choosing Affordable Health Insurance For Children
In most cases, private health insurance comes through a person's employer, who picks up the majority of the cost of premiums. However, today many people, who are either self-employed or who work for a company that doesn't offer health insurance, find it necessary to obtain quality affordable health insurance for children.There are a wide range of plans and offerings of affordable health insurance for children and it's necessary to pick and choose from among the many plans available. For example, if you feel your family may need alternative health options such as massage therapy or acupuncture, you'll want to make sure your plan covers these choices.Affordable...(related: Insurance)
Give Your Auto Policy A Tune-up
When you originally purchased your auto insurance policy, you purchased a certain type of coverage to meet your needs at that time. Since then you have probably experienced many changes in your life. Have these changes changed your auto insurance needs? Is it time to "give your auto policy a 'tune-up'"?As you probably already know, the term 'tune-up' is usually discussed with vehicles. A new vehicle rarely experiences any mechanical problems. However, over time a vehicle's performance and efficiency levels may decline. At that time, you may need to 'tune-up' your vehicle's engine to bring its levels of performance and efficiency to an acceptable level.As stated earlier, you have probably...(related: Insurance)
Private Health Insurance: A Sense Of Dissatisfaction
The three C's, customization, consumerization and customer-satisfaction, seem to be at the core of the business mantra for every service provider. The health insurance provider industry is no exception to this rule. With an increasing concern among the tax payers of US regarding the number of people uninsured in the country, there is a burgeoning market for the providers. Even though, this seems to be a buyer's market, there seems to be a lot of dissatisfaction among the people with the red tape and bureaucracy involve...(related: Insurance)
Avoiding The Potholes Of Car Insurance
Car Insurance is an issue that we all of face in our lives. Do we insure our car or not?For example, what type of policy should you get? What should you look out for when signing on the dotted line? Car insurance can be a minefield if you do not investigate and take time out to rese...(related: Insurance)
Insurance For All Your Gadgets
Personalisation, Digitalisation, Mobilisation, these 3 words represent your life today. Here in the 21st century our lives have become more and more reliant on mobile items. As we go through our days, keeping a mental log of everything we have and where we have it becomes more and more difficult. It is inevitable that some things get lost. In fact as stated in a recent research "Around 62,000 mobile phones were left in London taxis during the last six months. That's an average three phones per taxi, according to a survey of licensed London cabbies by the Taxi Newspaper and Pointsec Mobile Technologies. Absent minded and drunken tr...(related: Insurance)
The Best Rates On Life Insurance
Finding the best rates on life insurance is not difficult any longer. With a few simple key strokes you open up a vast array of services on the internet to help you find the coverage's you want and the best rates on life insurance.Without outside influence and distraction you'll be able to examine and think through your final choice. There's not any major difference in the base rates that companies charge. That thinking came about years ago as agents would quote us their preferences. We needed to check with different agents and the prices varied a lot, but because of policy types not the rates.So, no longer do we need to be subjected to single mindedness or purpose as the internet lets you look at whatever you wish. After reviewing you...(related: Insurance)
Everything You Need To Know About Life Insurance
Life insurance is a type of protection that can be bought and insures the buyer in the event of death. The risk that is assumed by the insurer is the risk of death of the insured. Life insurance is a very good purchase in order to protect a family, especially if you are the sole breadwinner. Additionally, life insurance can help pay for funeral costs and therefore ensure that your death will not be a financial burden for your family.It is important to understand the process of life insurance in order to truly grasp its value. A life insurance transaction has three parties: the insured, the insurer, and the owner of the p...(related: Insurance)
Finding Life Insurance Quotes For Adult Children
Shopping for life insurance quotes for adult children isn't any different than it is for adults or seniors. Underwriting issues can vary a little but essentially life insurance quotes for adult children follows the same routine.Where we do see a difference is in qualifying. Some companies don't allow you to buy more than (2) times what the adult parent has, other companies may use other multiples. Underwriting also considers the premium paying capabilities of the person being insured and etc.A certain amount of caution exists when companies receive applications for children. A simple explanation on the back of the application will normally set everyone at ease. Being a advocate of carrying insurance myself I bought a liufe policy on my 12 year old son simple to get him started at an early age and lock in his rates forever. It als...(related: Insurance)
Everyone Wants The Cheapest Automobile Insurance Quote
When you are looking for an automobile insurance quote, the first thing you usually do is pick up the phone and start calling the various insurance companies in your local area. Then you have to wait for them to call you back with a quote, which quite often is very similar to what you are already paying. The funny thing is that no one bothers about getting an automobile insurance quote until they receive the notification for their renewal and then they start scrambling to find ways to save money.When you are looking for an automobile insurance quote online, you need to look through all the online insurance companies. Most of these companies will give you a free automobile insurance quote. A...(related: Insurance)
site-map - Copyright © 2006 Insurance | All Rights Reserved. | Insurance