November 10th, 2014
Your home insurance is a vital resource to have when you have bought a new home. As home values rise and the economy improves, a larger insurance policy may need to be taken out to cover a wider range of items. Traditional insurance claims center around thefts, natural disasters and remodeling. However, depending on your insurance provider, there is a vast range of things that can be covered under your policy that you may not be aware of.
Here are six strange instances where homeowners insurance picked up the tab:
1. Spoiled food
If there is some sort of outage relating to a weather event or a downed electric pole, then your home could be left stranded without power for hours or even days. During this time your refrigerator and freezer will be useless. Whatever food you have stored inside these containers will likely go bad quickly. If you're the type of person who buys in bulk, then there could be hundreds of dollars of wasted food due to the loss of electricity. Because it wasn't your fault and a significant amount of damage was incurred, your insurance company could agree to pay your claim.
2. Wedding relocation
Many people enjoy the small-town atmosphere of hosting a wedding at home. Thousands of dollars are spent to prepare for the wedding at this specific location. However, if unexpected damage to your home occurs, you may have to relocate somewhere else in a hurry. If a fire breaks out or your home is struck by lightning, then the cost to move the wedding to a different location can be covered by your homeowners insurance policy.
3. Items sold in pairs
While it may seem negligible, certain items are more frequently bought in pairs, like antiques, lights and furniture. If one item is damaged, then you'll likely have to replace the whole pair, either because you opt for a different brand entirely or the item simply isn't sold as a single unit. Insurance companies can pay for the costs of the pair even if only one item is damaged.
If a deceased member of your family's gravestone becomes defaced or cracked, then your insurance may pay the repair costs. Many policyholders have valuables and personal items insured through their homeowners plans, which could include gravestones.
5. Animal stampede
If you live near a farm, then your home may be more susceptible to damages from animals. Whether it's a knocked-over fence, lawn damage or animals finding their way into your home, insurance might be able to help. If there is significant evidence of poor maintenance that attracted animals like rodents or raccoons, then your claim will hold less weight. But if larger animals like dogs, deer and goats damage your property, then you could get money back from your provider.
6. Reward money
Thefts and vandalism can be common in some neighborhoods. However, if you decide to advertise a reward for returned possessions, then your insurance company could front the cost for the reward money - usually around $1,000 or so. This may increase the chance that your items are returned, which may be cheaper for your insurance company to pay than the actual value of the items.
Most insurance policies have restrictions on more extreme situations, like those listed above, to prevent excessive and outrageous claims. Remember, the more frequently you file claims, the higher your insurance premium is likely to be. If you have a legitimate case, then insurance can help out, but it's always best to limit the type of claims you submit to more serious events.
CoverHound is the best resource for researching insurance quotes.