Published on 11.13.19
How to Protect Your New Holiday Presents With Contents Insurance
Whether or not you wanted them to, family and friends often use the holiday season as a way to express their care for you with gifts and presents! And although it’s the thought that counts with gifts, sometimes you may receive an expensive and special item as a present. Let’s say: the vintage fur coat you’ve had your eye on since the beginning of the year or the brand new, top of the line bicycle. It’s easy to forget this important next step during the holidays when there’s so many plans and events but you should look into contents insurance and the special limits in your policy.
Chances are, you probably already have contents insurance as part of your home insurance policy package – especially if you’re renting as a tenant or own a condo as this is the main property coverage in those policies – since it covers your belongings that aren’t part of the actual home. Think: clothing, TVs, furniture and so on.
However, a common home insurance myth is that your contents insurance will cover and fully payout for everything you own if something were to happen. That’s not necessarily the case as policies often have unique, lower sub-limits on special items like jewellery, furs, collectibles, and bicycles depending on the claim. If you receive a special, high-value item as a gift this holiday season, be sure to talk to your broker about what your special limits are and how to proceed in covering it. There are several options such as increasing the sub-limit or insuring the object on its own policy. Usually you can increase special limits across the board. You can also add a floater for specific items which can have the benefit of enhancing the coverage to anywhere outside your home and can remove the deductible.
Consider looking into contents insurance and their special limits for these items:
-Bicycles and their equipment
-Golf carts and their equipment/accessories
-Personal belongings in a safety deposit box located at a financial institution
-Personal belongings located at a nursing home or a residential care facility
-Watercraft and their accessories, equipment and motors
-Collectables (sports memorabilia, comics, rare books, coins, stamps etc)
-Jewelry, watches, gems, furs
As previously stated, the thought and care of getting the perfect gift may mean more than the monetary value of any item. Contact us at Foxquilt to review your contents insurance situation to ensure it’s protected.