Before you experience a loss, it’s worth taking a few moments to review your insurance policies, including homeowners and auto insurance. Generally, insurance policies carry exclusions—restrictions on what is and is not covered. Here are some common insurance exclusions:
Homeowners Insurance
Flood and earthquake damage are generally excluded from standard homeowners policies. To cover flood damage, you must purchase separate flood insurance. However, you may be able to add earthquake coverage to your homeowners policy. A separate deductible will apply, and the additional premium amount will depend on your property’s susceptibility to earthquake damage.
Most homeowners policies cover water damage that is sudden or accidental, such as roof damage from a storm or burst pipes. However, damage due to gradual deterioration, such as a continual plumbing leak, may not be covered.
If you own a home-based business, your policy may exclude business-related activity in your home. You may buy separate insurance to cover business equipment and personal liability for visitors on your property
Auto Insurance
If you share a residence with someone and you drive that person’s car, it’s best to be listed as a driver on that person’s policy. If you use a vehicle belonging to someone with whom you do not share a residence, coverage may depend on how regularly you use the vehicle. Even if you use the vehicle as seldom as once a week, you may still be considered a “regular user,” excluding you from coverage if you’re not listed on the policy.
If you’re unsure of your policies’ exclusions, feel free to give us a call. One of our qualified insurance professionals can help you understand what your insurance does and does not cover, as well as assist you in securing any additional protection. Contact us today!
