What you need to know about homeowners insurance endorsements.
As a homeowner, it’s easy to get complacent when it comes to your insurance. However, your home policy does have coverage limits and refusing to acknowledge this can leave you exposed to major risks. Fortunately, you can secure the additional coverage that you need with homeowners insurance endorsements. Here’s what you need to know about these additions to your policy.
Home Insurance Exclusions
Before you consider your insurance endorsement options, you need to understand the limits of your coverage. Typically, homeowners insurance policies exclude coverage for the losses related to the following:
- Flood
- Business Equipment
- Earthquakes
- Valuable Personal Property
- Future Assets
- Damage from War
- Pollution
- Nuclear Accident
- Intentional Damage
- Normal Wear and Tear
- Construction Defects
What is a Policy Endorsement?
An insurance endorsement, also known as a rider, adds coverage for perils not automatically included in your policy. With an endorsement, you can cover specific losses for an additional premium. Please note that certain perils cannot be covered by an endorsement. For instance, if you want to secure coverage for flood damages, you would need to secure a separate flood insurance policy.
Policy Endorsements to Consider
Here are some of the most popular types of insurance endorsements that you should consider getting.
- Earthquake- Pays for repairs to your home and other structures on your property after an earthquake. This endorsement can also cover the cost of bringing your home up to code and other expenses such as debris removal.
- Sewer Backup- Pays for the repairs and remediation efforts your home needs if you suffer water damage due to a sewer backup.
- Scheduled Personal Property- Pays to repair or replace valuable items that exceed the coverage limits of your home policy. For instance, this endorsement can cover things like jewelry, electronics, fine art, etc.
- Home Business Endorsement- Covers your home business equipment, supplies, and legal liability.
- Secondary Residence Premises- Adds coverage for your vacation home or another secondary residence.
- Watercraft- Adds coverage for your boat. This endorsement will pay for damages incurred while the boat is docked and will cover liability and medical costs associated with a boating accident.
- Inflation Guard- Automatically increases your coverage every year to keep up with inflation.
- Personal Injury Endorsement- Increases your home insurance coverage to cover things like false arrest, wrongful eviction, slander, defamation, and advertising liability.
These are some of the homeowners insurance policy endorsements you should consider getting. Do you have more questions about your home coverage? If so, then contact the experts at Mike Leonard Insurance Agency. Our dedicated team is eager to find you the right coverage from one of our many carriers including: Kemper, MetLife, Nationwide, Travelers, The Hartford, Safeco Insurance, Progressive, and American Strategic Insurance.