When insuring your home, you have to make your homeowners insurance plan fit your needs. Your property has a unique value, you own unique possessions and there are many special liabilities that might threaten your home and family. To make sure that your plan adequately insures you against these liabilities, you will likely need to add several policy endorsements to your package.
Insurance endorsements are simple ways that you make changes to your plan to make it better fit your needs. Let’s take a closer look at some of those that you should consider adding to your plan.
Understanding Homeowners Insurance Endorsements
An insurance endorsement is simply a change to a policy. When you buy your home insurance, the basic terms offered by a carrier might not offer you the perfect coverage. As a result, your insurer will probably include several endorsements on your plan as they adjust it to fit you.
However, there are other endorsements that your insurer might not offer unless you request them. Consider asking your agent about further endorsements for:
- Replacement cost possessions coverage: Most standard possessions insurance only covers items based on their actual cash value. An item’s cash value is its used value, which is not the amount you might need to buy a new item. By buying a replacement cost value endorsement, you can receive compensation based on an item’s like-new value.
- Scheduled personal property riders: High-value or unique items like art or musical instruments might not receive adequate coverage under possessions insurance. However, a scheduled item endorsement can be added to your plan to specifically insure an important item for adequate.
- Pet liability insurance: If you have a pet, then tell your insurance agent. If that pet were to bite someone or damage their property, then you might have to repay them. Pet liability insurance makes sure you can do so, and you might need to add it to your plan.
- Home systems coverage: Also called equipment breakdown coverage, this endorsement helps pay for repairs to systems like electrical or HVAC setups following unexpected breakdowns.
- Water backup coverage: Home insurance usually covers water damage from burst pipes. However, it might not cover sewer overflows, sump pump backups or similar issues. Some insurers offer endorsements for these benefits.
- Personal injury insurance: Someone might sue you because they allege that you committed acts like libel or slander against them. This endorsement helps you respond to these claims and protect yourself from the financial ramifications.
There are many other endorsements that you might need, and what is important is that you tailor them to your needs. Our Indiana insurance agents are committed to helping you design the perfect home insurance for you, and therefore will make sure it includes appropriate endorsements.