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3 things that are not covered by your homeowner’s coverage

Understanding your insurance policy does not have to be complicated. That’s what we’re here for – to help you decipher your coverages. It’s important to know what is covered under your Homeowner’s policy and what is not. The following are three things that most people do not realize are significantly limited or not covered by their Homeowner’s policy.

1. Flood

Hurricane Katrina and Ike are somber reminders that Homeowner’s policies do not cover flood damage. Flood insurance must be purchased separately – and usually requires a 30 day waiting period. Flood insurance can be fairly inexpensive.

2. Motorized Vehicles

Homeowner’s policies do not cover property losses to motorized vehicles, including automobiles, motorcycles and all-terrain vehicles (ATVs) – nor do they cover damage resulting from the use of these vehicles. Such damages may include bodily injury to a passenger or damage to someone else’s property. Any damages to an automobile should be covered under your automobile insurance policy and a policy for motorcycles and ATVs can be purchased separately.

3. Business Use

The U.S. Bureau reports than more than 40 percent of Americans work from home – many of which operate some kind of business. A homeowner’s policy contains limited coverage for property used in the business, such as office equipment and inventory. Most liability coverage for the at-home business such as injury to a customer or salesperson, is also excluded.

Business-related losses can be severe. Equipment and inventory can be expensive to replace, so a separate business policy is recommended.

To find out more contact one of our agents today at 888.833.8378.