Standard homeowners insurance typically does not cover flooding. After the floods in Alberta, many people now realize this. Many people are not familiar with the other exceptions in their policies that they are not protected against. We will go over a few of the property exclusions that are part of standard homeowners insurance:
Structures used for business aren't covered by standard homeowners insurance. Keep in mind that all claims for business on your property will likely be denied by your insurance adjustor. Take note of this if you run an informal day care or make jewelry or operate a catering business in your residence.
Standard policies do not cover pets, whether they are injured or are the victim of a theft. But if there are injuries caused by your pet, this will be included. If you have a dog that causes injury to someone by biting them and a lawsuit is the result, you will be covered by your personal liability insurance. Certain breeds of dogs are not included in standard coverage, so go over this with your insurance agent so you are not left holding the bill.
Losses caused because you failed to protect your property and prevent further damage typically are not covered. What does that mean exactly? Losses will not be covered if you have a fire in your home or on your property and you do not call the fire department. In a case where a tree falls on your home and damages the roof and you fail to protect your belongings from the rain damage, you will not be covered.
A power outage that causes losses is not covered, like if your food is ruined because of a lack of refrigeration during this time.
Standard policies also do not protect against damage due to rising waters, which most people simply call flooding. But you're also not covered for water backup. If your sewer or drain backs up or your basement's sump pump fails, this is not included. Unless you've purchased specific coverage for this, you could face thousands in damage.
The property of a boarder in your home, or someone who is leasing space will not be covered by your homeowners insurance policy. The renter or boarder will need separate coverage in the event your home is affected by fire or another covered peril and their possessions are damaged.
Similar to floods, earthquakes aren't covered by standard homeowners insurance. That means if you live in an area prone to earthquakes, you need earthquake insurance. Standard homeowners insurance does not cover mudslides or sinkholes.
Speak with your insurance agent about what exclusions are listed in the policy. Preparations can be more easily made if you know what you are covered for, and what you are not.
Structures used for business aren't covered by standard homeowners insurance. Keep in mind that all claims for business on your property will likely be denied by your insurance adjustor. Take note of this if you run an informal day care or make jewelry or operate a catering business in your residence.
Standard policies do not cover pets, whether they are injured or are the victim of a theft. But if there are injuries caused by your pet, this will be included. If you have a dog that causes injury to someone by biting them and a lawsuit is the result, you will be covered by your personal liability insurance. Certain breeds of dogs are not included in standard coverage, so go over this with your insurance agent so you are not left holding the bill.
Losses caused because you failed to protect your property and prevent further damage typically are not covered. What does that mean exactly? Losses will not be covered if you have a fire in your home or on your property and you do not call the fire department. In a case where a tree falls on your home and damages the roof and you fail to protect your belongings from the rain damage, you will not be covered.
A power outage that causes losses is not covered, like if your food is ruined because of a lack of refrigeration during this time.
Standard policies also do not protect against damage due to rising waters, which most people simply call flooding. But you're also not covered for water backup. If your sewer or drain backs up or your basement's sump pump fails, this is not included. Unless you've purchased specific coverage for this, you could face thousands in damage.
The property of a boarder in your home, or someone who is leasing space will not be covered by your homeowners insurance policy. The renter or boarder will need separate coverage in the event your home is affected by fire or another covered peril and their possessions are damaged.
Similar to floods, earthquakes aren't covered by standard homeowners insurance. That means if you live in an area prone to earthquakes, you need earthquake insurance. Standard homeowners insurance does not cover mudslides or sinkholes.
Speak with your insurance agent about what exclusions are listed in the policy. Preparations can be more easily made if you know what you are covered for, and what you are not.
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