Home Insurance Theft Limits

Having your home burglarized can be an extremely frightening experience. Home robbery is often a devastating incident that we often overlook, or believe won’t happen. In the unfortunate event that you are to have your house broken into, it is critical that you have your home and property within the home protected.

Theft is usually included in homeowner’s insurance policies; however, insurance companies will only pay out a limited amount for certain items. Typically homeowner’s insurance policies have internal limits on personal property.

Many insurance companies format their policy similar to the layout of the Insurance Services Office. If your company’s policy fits this format, the limits for items can be found under “Special Limits of Liability” within the “Personal Property” section. Limits are assigned based on the category of the item.

In order to receive higher value coverage for personal property within your home, it is recommended that you “schedule” certain items. Items that  homeowner’s typically schedule include, but are not limited to, jewelry, watches, silverware, firearms, musical instruments, furs, etc. In the event that your home is burglarized and your stolen property was scheduled, you will receive financial compensation for the replacement of the item(s) based on the scheduled value. In the event that you hadn’t scheduled your personal property, you would only receive compensation up to the “special limit” amount listed within your homeowner’s policy. Scheduling costs vary depending on the type of item and location of the home, but are typically fairly reasonable.

Although you may think, “It won’t happen to me,” it’s always comforting to know that IF it does happen to YOU, your personal property is protected. Simply said – it’s better to be safe than sorry.

To determine your personal property limits, review your insurance policy or contact your insurance agent.