Understanding How Scheduled Personal Property Insurance Works

Understanding How Scheduled Personal Property Insurance Works

Have you estimated the value of your possessions at home? It’s a good idea to make sure your homeowner’s insurance plan covers all your valuable belongings. However, not all items are covered in a standard plan, as certain things are difficult to appraise. So you need to purchase an extension to your policy with valuable possession insurance in Wellesley, MA.

What is scheduled personal property?

Scheduled personal property insurance is add-on coverage that extends protection to possessions that aren’t covered in your standard plan. For example, items such as jewelry might only be partially covered under a standard plan but get better coverage through scheduled personal property insurance.

This extension increases coverage limits on antiques, furs, and paintings. Art and antiques are complex for appraisers to evaluate because the value may be high for a small elite group but low for the broader market. Unique antiques, especially those issued by iconic brands or associated with famous people, can command high value but still have low demand from the general public.

How much coverage do you need?

Each insurance company has its methods for developing scheduled personal property policies. So you need to pay close attention to the policy’s wording, typically about 20 pages. For example, it may state specific dollar amounts for coverage limits on certain items such as jewelry. In addition, a scheduled thing may need to be appraised by the insurer or third party.

Perhaps you’re a collector of certain items like watches. Your watches might have special value to you that few people know or care about, other than an elite group of collectors. The watches may be irreplaceable in a sense and valuable because of it. Get them appraised so that the insurer has the value on record.

The best way to understand the scheduled personal property is to take inventory and discuss your valuables with your insurer to determine how much your standard plan covers. From there, you can determine how much additional coverage you need.

How scheduled personal property coverage works?

You will have significant advantages over standard homeowner plans when you purchase scheduled personal property insurance. While standard policies pay actual cash value when replacing items, also accounting for depreciation, a scheduled personal property plan doesn’t factor in depreciation. That means you’ll get better payouts with a scheduled personal property plan.

Another advantage of a scheduled personal property plan is covering items the policyholder loses or damages. While a standard plan might only cover losses under specific conditions such as flooding or fire, a scheduled personal property plan allows for a broader range of conditions. It won’t cover negligence or intentional damage, but it will cover more than a standard plan.

Yet another advantage is policyholders do not have to pay a deductible with this coverage. That means you won’t have to fork over your money upfront when you file a claim to get the process rolling. Deductibles often run in the hundreds of dollars.

More risks are covered under a scheduled personal property plan than in a standard plan. A scheduled personal property plan also extends coverage to items not covered or that have limited coverage in your typical homeowner’s policy. Contact us at CAV Insurance Agency, Inc. to learn more about getting the right valuable items insurance in Wellesley, MA.