Demont Insurance Agency Blog

Homeowner’s Insurance: Add-ons That Will Further Protect You

Homeowners Insurance protects us from many emergency situations, natural disasters, and theft. However, every policy has its limitations and exclusions. Add-ons, also called endorsements, floaters, and riders, help fill in the gaps. Endorsements allow homeowners to expand existing coverage where they need it most.

Insurance policy add-ons allow homeowners to expand the list of covered perils in their coverage. For a small increase in premiums, policyholders can include benefits that were previously excluded from the policy. We’ll look at some of the most beneficial endorsements to further protect you, your family, and your belongings.

Earthquake Coverage

Without an earthquake endorsement, homeowners are at risk of having to pay for repairs and debris removal out-of-pocket. Typical home insurance policies don’t cover damage from earthquakes. An endorsement covers costs resulting from earthquakes that are usually not included.

This add-on pays for structural damage to the home, garage, shed, attached, and detached sections of the property. Earthquake coverage can pay for homeowners to update their houses according to current building codes, offering further protection. Since earthquake damage can exceed the limits of our savings accounts, an earthquake endorsement is one of the best add-ons to consider.

Similarly, Hurricane and Flood Insurance come as separate policies. Homeowners can only purchase Flood Insurance through the National Flood Insurance Program or private insurers. To find out more about hurricane coverage, read the following article.

Sewer Backup Rider

Sewer backup is one of a homeowner’s worst nightmares. Clogged drains or greasy drains are common sources of the problem. Sewage can cause immense damage to a person’s home and private property, not to mention result in huge inconveniences.

Preventative advice – Install a backwater valve to stop sewage backup before it starts.

Home insurance may or may not include sewer backup protection but is almost always available as an endorsement. This policy protects homes that experience water damage from sewage backup, septic systems, and drains.

Scheduled Personal Property

For particularly valuable items, such as artwork, jewelry, and electronics, homeowners may want to consider additional coverage. Usually, home insurance policies have limitations when it comes to valuable property. This amount may not be enough to replace specialty pieces should a loss occur. When homeowners want to secure these special belongings, a scheduled personal property endorsement can provide the necessary extra coverage.

Valuable belongings can be grouped as collections or individually, according to the homeowner’s needs. A scheduled personal property endorsement can also reduce or even eliminate the deductible. Finally, this add-on protects belongings from theft and breakage.

Watercraft Endorsement

Typically, home insurance policies do not include boats. However, homeowners can add a watercraft endorsement to protect small vessels. Large ships and yachts need to have separate plans.

This add-on protects boats, both on the water and at the dock. Coverage will pay for any damage to the ship itself, but not necessarily the property inside. A watercraft endorsement also includes liability coverage in case anyone is injured on the vessel. A watercraft add-on covers all the homeowner’s boats, as well as any medical bills associated with accidents.

Have a look at this article to find out more about boat insurance.

Home-Based Business Add-On

A rise in people working from home has led to an increasing need for home-based business insurance. Instead of buying a separate commercial insurance policy, small business owners can purchase a home-based business endorsement. Those working from home should consult with insurance advisors about a rider. Taking these steps will help homeowners avoid surprises, such as having their home insurance policies canceled.

This endorsement covers personal property in your home office and can replace lost items in the event of a covered peril. Coverage also pays for medical bills resulting from accidents and injuries to business visitors.

Inflation Guard

Most home insurance policies don’t factor in inflation when considering the value of a home. Should a devastating disaster occur and completely demolish the house, a homeowner may not receive enough compensation to restore the building to its previous conditions.

An inflation guard endorsement increases coverage levels every year, keeping up with inflation. That way, if homeowners experience a complete loss of property, they won’t be left short-handed. This policy becomes more valuable over the years, as inflation rates continue to rise.

Final Thoughts

Home insurance add-ons provide valuable protection and security to homeowners. Endorsements may slightly increase premiums, however, having peace of mind during a disaster is priceless.

To learn more about Homeowner’s Insurance Endorsements, contact the experts at Demont Insurance at (800) 522-1997. Our licensed insurance experts are waiting to answer any questions you have.

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