What Is Personal Property Insurance?

In the case of a covered loss, personal property coverage can protect your items, like furniture, clothing, sporting goods, and gadgets, whether they are destroyed in your house, apartment, or anywhere else on the globe.

How Does Coverage For Personal Property Work?

Personal property insurance may safeguard your things against risks such as fire, theft, and other perils included in your policy. Two sorts of personal property loss settlements are replacement cost and real cash value. Replacement expenses cover the item as it was when the claim was filed. Actual cash value is the item's replacement cost minus depreciation. Learn how insurance covers damage caused by fire and how it may cover theft.

Depending on the type of property insurance you have, the quantity of personal property coverage you can select may vary:

Your homeowner's insurance policy will normally include a portion – such as 50 percent – of your dwelling coverage for coverage of your personal goods. For instance, if the housing limit of your policy is $200,000, your personal property coverage will be $100,000. Your policy may allow you to increase or lower the amount to suit your requirements.

On average, numerous renters' insurance policies provide coverage options for personal items ranging from $10,000 to $500,000.

Condo insurance policy Personal property coverage options normally vary from $0 to $500,000 on condo insurance policies.

What is Covered by Coverage for Personal Property?

Contents insurance may cover your possessions if they are destroyed or damaged by risks specifically mentioned in your policy. Some insurance companies even provide an endorsement that converts the coverage for personal property from designated danger to open peril or all risk. This means coverage for a loss exists unless the policy expressly denies it. Utilize our home insurance calculator to determine your required home insurance coverage.

What is Not Included?

Your personal property is often not insured if it was destroyed by floodwater. You will likely need to acquire a separate flood insurance policy to protect your personal possessions.