Well, the Patriots just added a new Superbowl ring to their collection. They'll certainly also be scheduling a rider on the home insurance policies for those rings as well.
Homeowner’s insurance policies are very important because they provide coverage for our personal property. Did you know, however, that there are some limitations to that coverage?
Most homeowner’s policies carry coverage limitations on personal property like jewelry, silverware, firearms, etc. Unless your property is scheduled, or specifically itemized with a value on your policy, your home deductible will apply to a loss.
You may want request to schedule jewelry items on your homeowner insurance policy. You may also have the choice of scheduling them on a replacement cost basis or an agreed value basis.
Replacement Cost Coverage: Your insurance company may pay the cost to repair or replace the damaged or lost property without factoring in depreciation; however, the amount paid will not exceed the least of these amounts:
- Replacement cost at the time of loss;
- The full cost of repair at the time of loss; or
- The amount of insurance that applies to the property as shown on the declarations page of your policy.
Agreed Value Coverage: For each item designated on your policy as having agreed value coverage, the full amount shown is paid. The amount is agreed to be the value of that article or property.
You may also have the option to insure some personal property on a blanket coverage basis. In that case, your insurance company will pay the replacement cost at the time of the loss, but not more than the individual coverage amount for any single item of insured property.
Several types of property can be scheduled specifically (with no deductible, and/or broader coverage). This includes cameras, collectibles, coins, fine arts (prints, paintings, sculptures, etc.), furs, golf equipment, musical instruments, silverware, sports equipment, and stamps.
Scheduling items on your home policy broadens perils the coverage will apply to for jewelry. Some of those include lost, damaged or misplaced. Many home insurance policies will cover an item if it’s stolen from the home, but may have limitations beyond that if the article is not scheduled.