Structural coverage should be equal to or greater than 80 percent of the value of your home.
Review your homeowners coverage at least annually to be sure that it is adequate and that the coverage has been adjusted for appreciation.
Coverage on furniture, personal possessions, collectibles, jewelry, etc. should be equal to their replacement cost.
Purchase replacement cost coverage rather than actual cash value coverage. Obtain replacement cost coverage on the home, furniture, and personal possessions.
Inventory all household articles by item, description, purchase date, cost, and appraised value, if any. Consider making a video recording or taking photographs of household articles and keeping them with the inventory. The inventory and the video recording or photographs should be kept off-site in a safe deposit box or in some other safe location.
Purchase a personal articles floater to insure expensive personal items, such as collections and jewelry.
If you own a personal computer find out whether the policy covers damage to software and hardware caused by a power surge or software virus, and theft or damage to laptops and notebooks outside your home. If the policy doesn’t provide coverage you may be able to buy a rider that does.
Ask your agent to explain the details of your coverage and whether all covered items have to be included in your policy.
Do not purchase earthquake and flood insurance unless you are in a government- designated earthquake zone or flood plain.
If you are renting, purchase a tenant’s policy.
If you own rental property, consider purchasing an owners, tenants and landlords policy.
Your premiums can be reduced by raising the deductible to $500 or more.
Consider liability coverage of at least $300,000.
If you own a condominium consider obtaining coverage to help cover your responsibility as a unit owner to pay some of the homeowner association deductible or uninsured loss incurred by the association and assessed to you as a unit owner. The loss must be a result of a peril covered under the unit owner policy. Carefully compare your personal insurance contract with those of the association to identify possible gaps in coverage.
