5 Surprising Things Your Home Insurance Covers

The average home insurance policy no matter where you live- New Hampshire, New Jersey, New Mexico, New York, Utah– will cover a lot more than your house and personal belongings that are damaged or destroyed. Many homeowners are not aware of the incidental coverages that are provided by homeowners insurance policies at no additional cost. Here are five examples of beneficial coverages contained in most home insurance policies:

  1. Credit Card Fraud and Forgery – Most home insurance policies provide up to $1,000 of coverage for victims of unauthorized use of credit cards, forged checks, or counterfeit money. While credit card fraud is often limited to a small amount by the credit card issuer, other forms of financial loss can impose a significant financial impact. Not only will your policy reimburse you up to the specified limit, but often, there is no deductible applied to these losses.
  2. Fire Department Service Charge – It is not uncommon for fire departments in certain municipalities to charge a homeowner for putting out a fire, but after a fire damages or destroys your home, the last thing you need to be concerned about is a large bill from your local fire department. Some home insurance policies can pay for these charges through a special coverage on the policy. You should check both the local regulations and also your policy to verify you have this coverage, though, and that it is the correct amount.
  3. Refrigerated Products – Many home insurance policies will include coverage for spoiled food in refrigerators and/or freezers as a result of power loss. Homeowners frequently overlook this coverage after the stress of a large natural disaster such as a hurricane because, understandably, they’re usually more focused on larger damages to the house. But keep this coverage in mind if your food spoils the next time there’s a power failure that you did not cause. However, if you mistakenly disconnect the power to your refrigeration unit, the policy will not cover the loss.
  4. Arson Reward – Some homeowners insurance policies will include a provision to pay for information that leads to the arson conviction of persons responsible for a covered fire loss. The limit will vary between insurance companies, but the coverage is an added benefit that is usually provided as part of the policy at no additional charge.
  5. Lock Replacement – If your house keys are stolen or lost and the loss is covered by the home insurance policy, there is usually a separate coverage that will pay you to re-key the locks on your house. This coverage can provide you with added peace of mind and security following a theft. The policies usually do not apply a deductible to claims under this coverage.

As you can see, it is beneficial to read and understand all the various coverages that are available to you within your home insurance policy. If your policy does not offer any of the above coverages, you should inquire as to whether or not they are available and, if so, what the premium would be to include them.


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