Most policies that provide coverage for personal property will assign a value to all the items based on a formula. Typically, the contents coverage (or personal property value) is a percentage of the replacement value, or cash value, your home is insured for. While it may seem that the amount allowed would be enough to cover the items damaged or stolen, replacing each and every item at current prices can become quite expensive. You should consider photographing or videotaping your belongings to document your contents. If your policy falls short, consider increasing the standard coverage to ensure that you have adequate coverage. If necessary, you may want to add a separate endorsement for specific items, such as jewelry, electronics or collections that may not be completely covered under a standard policy. Consider adding an inflation clause or endorsement, so your policy continues to keep up with rising prices. |
