Things That May Be Missing From Your Homeowners Insurance Policy

Homeowners insurance is an essential financial safeguard for your home and personal belongings.

It offers financial protection in case of unexpected events like fires, weather disasters or theft.

Without it, you’d be responsible for repair costs and replacements out of your own pocket.

However, homeowners insurance policies often have hidden gaps or exclusions that you should be aware of to avoid unexpected financial burdens.

How to Improve a Homeowners Insurance Policy

Consider the following tips for strengthening your home insurance coverage:

• Review your policy. Start by examining your existing policy thoroughly. Understand its terms, limits and exclusions. Look for gaps that need addressing.

• Consider additional coverage. This can include umbrella insurance, flood insurance and earthquake insurance.

• Document your belongings. Create an inventory of your possessions. Photos, receipts and detailed descriptions can be helpful when making claims. This process can also help determine if you need to change coverage limits or add endorsements.

• Update your policy regularly. As life changes (e.g., renovations, new purchases, etc.), update your policy accordingly.

Common Homeowners Insurance Gaps

The following are common gaps in homeowners insurance coverage:

• Ground movement—Earthquakes, landslides and sinkholes are typically not covered under standard home insurance policies. For broader coverage, consider a separate policy for these disasters.

• Floods—Most home insurance policies exclude flood damage caused by external water sources, such as overflowing rivers or torrential rain. To fill this gap, you can purchase separate flood coverage, which can financially cover both your home’s structure and possessions. Consider adding a water backup endorsement to cover other water-related damage, such as backed-up sewer lines or overflowing sump pumps.

• Windstorm and hail damage—Standard policies may not always cover damage from windstorms and hail. Depending on your location, you might need additional coverage or a separate windstorm policy.

• Valuables and collectibles—High-value items like jewelry, art or collectibles may have limited coverage under standard policies. Consider adding a scheduled personal property endorsement to protect these valuables.

• Business supplies—If you run a home-based business, your policy might not cover business equipment or inventory. Explore options for business insurance or endorsements to address this gap.

Homeowners Insurance in Grand Prairie, TX

Contact Blackburn Insurance Agency, Inc. to review your homeowners insurance policy. We can recommend endorsements and coverage limits so you have the financial protection you need.

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.