Many people have a decent understanding of what homeowners insurance typically covers. For instance, damage caused by fires and severe weather events is usually included. However, there’s often some confusion about what is not covered by homeowners insurance. This is likely because these policies are individualized, and they can vary from one person to another. Allow us to shed some light on exactly what is not covered by homeowners’ insurance.
One of the primary things not covered by homeowners insurance is flooding. This is particularly important in Nebraska where flooding can occur at a moment’s notice. That said, flooding caused by a burst pipe or broken water heater is generally covered by most policies.
Sadly, flooding from natural causes is almost never covered by homeowners insurance. The truth is many homeowners around the country don’t share the same flood risk as Midwestern communities. Therefore, they often have little to no need for this kind of coverage. However, standalone flood insurance policies are available for those who do feel they need it.
Earthquakes in Nebraska are uncommon and minor in nature. So, it probably won’t bother you to learn that earthquakes aren’t typically covered by homeowners insurance. Luckily, Nebraska residents rarely have to worry about their home being damaged by any major earthquake.
However, if you live in an area where major earthquakes are common, then this may certainly be a concern. Like flooding, earthquakes have their own separate policies that can provide greater peace of mind in select areas. Keep in mind that premiums can vary widely depending on perceived risk.
If you own a home, then you likely spend a lot of time maintaining its condition. First-time homeowners are often surprised at the amount of time and money they spend on basic upkeep. It comes with the territory, and it’s a small price to pay for investing in real estate.
Insurance companies tend to err on the side of caution when it comes to coverage. Therefore, most homeowners insurance policies typically don’t cover damage resulting from a failure to adequately support a home. In this regard, what is not covered by homeowners insurance often includes things like insect damage, mold, rot, wear and tear, and some DIY additions.
This is where homeowners insurance coverage can get a bit tricky. That’s because car break-ins often occur outside of the home but still concern private property. For the clearest answer about theft coverage, we always recommend closely reviewing your policy with a trusted agent.
Generally, any damage to your car is covered by an auto policy, not by homeowners insurance. However, certain belongings taken from a vehicle may be insured in some cases. Again, this is why it’s so important to consult an insurance agent about your exact coverage.
Assume that almost all expenses related to identity theft would not be covered by your homeowners insurance. This is often the case even when the identity theft results from a home break-in. However, there are several optional policies that do cover identity theft for those who prefer it.
These are but a few of the most common things not covered by homeowners insurance. That said, each insurance carrier is different, and some may have other noteworthy exclusions.
For instance, many providers maintain a list of dog breeds that are ineligible for coverage under standard homeowners policies. The most commonly banned breeds include Rottweilers, pit bulls, Doberman pinschers, chow chows, and wolf hybrids. Not all carriers have a strict list of banned breeds, but it’s worth checking with your agent if you have any concerns.
Finally, insurance providers are always aware of high-risk additions. Home improvements such as pools, ice rinks, and trampolines will often affect policy coverage and monthly premiums. To maintain coverage, most carriers require that homeowners install a safety net around a trampoline or a locked fence around any yard with a swimming pool.
Insurance can be complicated, but don’t let that discourage you! We’ll gladly help you review the details of your current policy or add extra coverage as you see fit. Our agents are always available to answer any questions you may have about what is and what is not covered by homeowners insurance. Please feel free to reach out at your convenience for a free quote or more information.