Flooding is not generally covered by a standard home insurance policy. After the floods in Alberta, many people now realize this. There are still a lot of people that are not aware of the types of situations that their home insurance will not cover. Following are some of the personal property exclusions, but not necessarily all of them, from standard homeowners insurance:
Structures used for business aren't covered by standard homeowners insurance. Keep in mind that all claims for business on your property will likely be denied by your insurance adjustor. Keep this in mind if you have a home business of any kind, no matter if it's a simple mail-order business or a larger catering company.
Injuries to or theft of pets is not covered in standard policies. But if there are injuries caused by your pet, this will be included. If you have a dog that causes injury to someone by biting them and a lawsuit is the result, you will be covered by your personal liability insurance. However, you might need extra coverage for certain dog breeds, so let your agent know what kind of dog you own.
If there are losses on your property that would not have been incurred if you had taken measures to protect from further damage, these will be excluded. What does that mean specifically? If you do not call the fire department when there is a fire on your property, your losses will not be covered. In a case where a tree falls on your home and damages the roof and you fail to protect your belongings from the rain damage, you will not be covered.
Power outages are also not covered by the policy, for example, if your frozen food is ruined because of a power outage, this will not be covered.
Damage due to rising waters, more commonly called floods are also not covered by standard policies. A standard policy will not cover water backup damage. If your sewer or drain backs up or your basement's sump pump fails, this is not included. Unless you've purchased specific coverage for this, you could face thousands in damage.
If there are areas of your home or property that are being leased out or rented to an unrelated boarder, their personal property will not be covered by standard policies. Boarders or renters must take out their own insurance coverage in case the home is damaged by fire or other covered perils and damage is done to their property.
Earthquakes are also not covered by standard insurance policies. For people living in a zone that has a high chance of earthquakes, special insurance for this needs to be purchased. And sinkholes and mudslides also typically aren't covered by home insurance.
Speak with your insurance agent about what exclusions are listed in the policy. Preparations can be more easily made if you know what you are covered for, and what you are not.
Structures used for business aren't covered by standard homeowners insurance. Keep in mind that all claims for business on your property will likely be denied by your insurance adjustor. Keep this in mind if you have a home business of any kind, no matter if it's a simple mail-order business or a larger catering company.
Injuries to or theft of pets is not covered in standard policies. But if there are injuries caused by your pet, this will be included. If you have a dog that causes injury to someone by biting them and a lawsuit is the result, you will be covered by your personal liability insurance. However, you might need extra coverage for certain dog breeds, so let your agent know what kind of dog you own.
If there are losses on your property that would not have been incurred if you had taken measures to protect from further damage, these will be excluded. What does that mean specifically? If you do not call the fire department when there is a fire on your property, your losses will not be covered. In a case where a tree falls on your home and damages the roof and you fail to protect your belongings from the rain damage, you will not be covered.
Power outages are also not covered by the policy, for example, if your frozen food is ruined because of a power outage, this will not be covered.
Damage due to rising waters, more commonly called floods are also not covered by standard policies. A standard policy will not cover water backup damage. If your sewer or drain backs up or your basement's sump pump fails, this is not included. Unless you've purchased specific coverage for this, you could face thousands in damage.
If there are areas of your home or property that are being leased out or rented to an unrelated boarder, their personal property will not be covered by standard policies. Boarders or renters must take out their own insurance coverage in case the home is damaged by fire or other covered perils and damage is done to their property.
Earthquakes are also not covered by standard insurance policies. For people living in a zone that has a high chance of earthquakes, special insurance for this needs to be purchased. And sinkholes and mudslides also typically aren't covered by home insurance.
Speak with your insurance agent about what exclusions are listed in the policy. Preparations can be more easily made if you know what you are covered for, and what you are not.
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