Can my homeowner's insurance policy provide replacement cost (new for old) coverage on personal property?

Yes. Our homeowner packages can provide for replacement cost on personal property as an optional coverage.


Does my homeowner's insurance policy include replacement cost (new or old) coverage on my home?

Yes. Our homeowner’s packages provide replacement cost on the dwelling coverage. So if a hailstorm ruins your 10-year-old roof all you should pay is your deductible.

Is Jewelry covered by my policy without having it listed?

Yes. Our homeowner packages provide coverage for jewelry. There is a $2,500 theft limit on jewelry that may be increased.

Is my swimming pool covered by my policy?

Yes. Our homeowners package covers related private structures on the "insured premises" this includes outdoor swimming pools and attachments. Your policy contains 10% of the dwelling amount and may be increased.

Is my shed covered or do I have to list it separately on my policy?

Yes. Our homeowner’s packages contain automatic coverage for "detached private structures". The policy contains an automatic coverage of lO% of the principal building amount for personal use detached buildings. Buildings that are used or were used for farming or any business use need to be specifically insured.

Are the contents of my garage covered?

Yes. The policy provides coverage for personal property that are on premises in any building, or for that matter, even if they are not within buildings.

Am I covered if someone is injured on my property and they sue me?

Yes. Your homeowner’s package contains liability insurance for claims against you for bodily injury or property damage arising out of your personal acts or due to your ownership or use of the premises.

Does my policy provide coverage to cleanup the debris from my premises after an insured loss?

Yes. Our policies contain coverage for debris removed within your limits of coverage.

Is my small boat and motor covered on my policy?

Yes. Our homeowner's insurance policies provide for coverage of up to $1,500 for watercraft and equipment. There are certain limitations and liability coverage is only provided automatically for outboard motors up to twenty- five horsepower, and therefore, any watercraft should be discussed with your Insurance Agent.

Is my business use computer covered in my home?

Yes. Limited coverage is provided of $2,500 for business use tools and equipment while on the "insured premises and $250 while away from the "insured premises". Y our Insurance Representative can advise you best in this regard.

Are the contents of my food freezer covered if the freezer breaks down and the contents are lost?

Yes. Our homeowner’s package contains an extension of coverage of $500 for consequential loss of food freezer contents due to the breakdown of the freezer unit.  

Are my child's contents covered while they are in residence at university?

Yes. Our homeowner's insurance policies include an extension of coverage of up to 10% of the personal property limit for each student residing away from home.


Am I covered if my sump pump fails and water fills my basement?

No. Unless you purchase "Water Damage Coverage" (sewers, drains, and sumps).

Am I covered for "acts of God" on my homeowner's package?

II Acts of God" can include many if not all possible losses. However the normal items referred to as II Acts of God" such as wind, lightning, hurricane and tornado are covered on our home packages. Specific exclusions are included however for flood and earthquake.

Am I covered for the theft of personal money?


Yes. Our home package policies provide for the loss of money to a limit of $250.


I understand that many motorized vehicles are not covered by property insurance. Am I covered therefore for my garden tractor and snow blower?

Yes. The home package is extended to provide coverage for garden tractors and snow blowers. Also the liability coverage includes the operation of these units automatically.

If someone steals my credit card and uses it am I covered for the unauthorized use if I followed all of the credit card contract agreement?

Yes. Our homeowner’s package provides for up to $1,500 coverage for credit or debits cards, forgery and counterfeit money.

Am I covered if somebody sues me because my dog bites him or her?

Yes. The comprehensive liability portion of our home package policies extends to provide coverage for liability arising out of your ownership of domestic animals.

If I start to run a business from my home am I covered?

No. The standard personal home policy doesn't cover operating a business from your home. However we have a home run business package to meet your needs. Your Insurance Agent can provide you with the necessary details to purchase proper coverage.

If I have a visitor at my home and their contents are damaged can I claim on my policy?

Yes. Our package policies include an extension of coverage for uninsured property of others on your premises other than property of unrelated roomers and boarders.

Are my sports cards insured under my general contents?

Yes. Sports cards are covered under the basic package up to your personal property limit. If you have a valuable collection you should see your Insurance Agent to arrange specific coverage on your collection.

Is my antique furniture covered on my policy?

Yes. The basic property policy provides coverage for your property even if it is antique. However it is difficult to evaluate property after many different types of losses. Therefore it is recommended that you discuss your situation with your Insurance Agent to ensure that you are fully covered.

If I put a deck on the back of my house am I covered for the additional cost to rebuild my home?

No. You must inform your Insurance Agent if you make any changes at your home that would increase the overall value of your home.

If I have a loss that I think may be a claim should I call My Agent?

Yes. Definitely. Your Insurance Agent is your best advisor in the event of a mishap. He/she can advise you if a claim is possible or advisable and at the same time give you some direction as to how to proceed with the repairs and/or replacement of your property.

Is my 4-wheeler or car covered on my property policy when stored in the garage on my property?

No. The property policies contain an exclusion that states that there is no coverage for motorized vehicles other than lawn tractors and other equipment used to maintain the residence premises. Any other vehicle must be insured on an Automobile policy.

Are you covered for direct losses due to fire, lightning, tornadoes, windstorms, hail, explosions, smoke, vandalism and theft?

Yes. The Form 3 provides broad coverage for a large number of perils, including all those listed. There are some limits, however, on the amount of insurance you have.

Action - Check the dollar limits of insurance in your policy. Make sure you are comfortable with the amount of insurance you have for specific items. For example, the standard policy provides only $2,500 for theft of jewelry. If your jewelry is worth a lot more, you should purchase higher limits. You may wish to add a floater to your policy to cover specific possessions, such as expensive paintings or silverware. The floater will provide both higher limits and protect you from additional risks, not covered in your normal policy.

Your house is totally destroyed in a fire. You have bought $150,000 worth of insurance to cover the structure of your house. Will this be enough to rebuild your home?

If the cost of rebuilding your home were equal to or less than $150,000 you would have enough coverage The Form 3 policy pays for structural damage on a replacement cost basis. If the cost of replacing your home is, say, $120,000, then that is all the insurance you need. On the other hand if the cost of rebuilding your home is $180,000, then you will be short $30,000. If you choose not to replace your home, you will receive the replacement cost of your home, less depreciation. This is called actual cash value.

Action - Make sure that the amount of insurance you have will cover the cost of rebuilding your house. You can find out what this cost is by talking to your insurance representative or builders in your area.

Do not use the price of your house as the basis for the amount of insurance you purchase. The market price of your house includes the value of the land on which the house is situated. In almost all cases, the land will be still there after a disaster, so you do not need to insure it. You only need to insure the structure.

Are you covered for flood?


Action - Flood insurance is provided by the federal government, under a program run by the Federal Insurance Administration. If you are in a flood prone area it may be wise to purchase flood insurance. In some parts of the country, homes can be damaged or destroyed by mudslides. This risk is also covered under flood policies. Contact your agent or company representative to get this insurance.

A pipe bursts and water flows all over your floors. Are you covered?

Yes. The Form 3 covers you for accidental discharge of water from a plumbing system.

Action - Check your plumbing and heating systems once a year. While you are covered for damage, who needs the mess and hassle?

Water seeps into your basement from the ground. Are you covered?

No. Water seepage is excluded under the From 3. And if the water seepage is not due to a flood you will not be covered under a flood policy. Problems like seepage are viewed as basement.

Are you covered for earthquake damage?


Earthquake coverage is sold as additional coverage to the homeowner's policy. To determine whether you should purchase this insurance, talk to your agent or company representative. In earthquake prone areas, the price of this insurance is relatively high. In other areas, it is relatively cheap.

A neighbor slips on your sidewalk and threatens to take you to court for damages. Does your policy protect you?

Yes. If you have purchased liability coverage Your policy will pay for damages, if the accident is the result of your negligence. It will also pay for the legal costs of defending you against a claim. Also, the medical payments part of your homeowner's policy will cover medical expenses arising from an injury to a neighbor or guest.  

Action - Check to see how much liability protection you have. The standard amount is $100,000. If you feel you need more, consider purchasing higher limits.

During a storm, a tree falls and damages your roof. Are you covered?

Yes. You are covered for the damage to your roof. You are also covered for the removal of the tree, up to a $500 limit. Cut down dead or dying trees close to your house. Prune maintenance issues and are not covered by insurance.

Action - You should see a contractor about waterproofing your branches that are near your house. It's true that your insurance covers damage, but falling trees and branches can also injure your family.

During a storm, a tree falls and does no damage to your property. Are you covered for the cost of removing?

No. Your trees and shrubs are covered for losses due to risks like vandalism, theft and fire, but not wind damage.  

During a storm, the power from the electric utility is lost. All the food in your refrigerator is spoiled and must be thrown out. Can you make a claim?

The general answer is no. However, there are a number of exceptions. Some policies have limited coverage included for this type of loss.

Action - Check with your agent to determine whether you are covered for food spoilage in your state. If not, you can add food spoilage coverage to your policy for an additional premium.

Your golf clubs are stolen from the trunk of your car. Can you recover?

Yes. The Form 3 covers your personal property while it is anywhere in the world. However, if your golf clubs are old, you will only get their current value. This normally will not be enough to purchase a new set.

Action - Consider purchasing a replacement cost endorsement for your personal property. This way you will get the full cost of replacing the golf clubs, less the applicable deductible.

You have a powerboat with a 50 horsepower engine. If it is stolen, are you covered? What if there is a boating accident and you get sued? Are you covered?

If the boat is stolen, you can recover up to the $1,500 limit on the policy. You are also not covered for liability arising from an accident with the boat. The homeowner's policy provides liability coverage for boats with engines 25 horsepower or less.

Action - See your insurance representative about getting extra coverage for your boat, including theft and liability. Ask about an Inland Marine Policy.

Does your policy provide less coverage than the FORM 3?

Answer - If the answer is yes, review your coverage with your agent.

Some older policies provide less coverage than the Form 3. They may not provide coverage for water damage, theft, or liability. They may also provide coverage for the house on an Actual Cash Value basis, rather than a replacement cost basis. Actual Cash Value means replacement cost less depreciation. For example, if your roof is destroyed in a storm, the insurance will only pay the cost of a new roof less than amount of depreciation of the old roof. If your roof was in great shape, this deduction will not be large. However, if the roof was old and worn out, the deduction for depreciation may be large. Talk with your agent to see what type of upgrades your home needs to qualify for a Form 3 policy.

For consistency, it is assumed that you have a policy known as Homeowners-3 (Form 3), the most common homeowners policy in the United States. Check with your agent to see if that's what you have. If you have a more restrictive policy, review your options under question # 14 and talk to your insurance representative.


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