Does My Homeowners Policy Include Power Surge Protection?

As a conscientious homeowner, you want to make sure your home is protected from the wide range of perils that can happen.  But, one peril you may not have considered is the risk of damage caused by a sudden power surge.  The good news is that power surge insurance is available. 

Power surges can damage or destroy electronics and appliances in the blink of an eye.  If this happens to your home, the personal property coverage in your homeowners policy may help. Talk to your insurance provider or agent to find out what your policy covers.  Meanwhile, here are some things you should know about power surge protection. 

What Is a Power Surge?

Power Surge InsuranceOverall, a power surge is a sudden spike in electricity.  Typically, they are caused by two main events:

  1. Lightning – When lightning strikes power lines, telephone wires, or your home, it can result in a sudden power surge.
  2. Changes in electrical loads – Changes in electrical loads can happen due to problems in your home or may be the result of power company operations.

Furthermore, power surges may be caused by faulty wiring in the home. Also, an electrical overload can cause a power surge when too much power is drawn from a single circuit.  

Power outages can cause a power surge when power is restored.  However, surge protectors can help reduce this risk.  

Are There Warning Signs of a Power Surge?

Some power surges are unexpected and come in a matter of seconds.  On the other hand, some surges are more gradual and give several warning signs such as:

  • Discolored, scorched areas around outlets or wires.
  • Smoke or sparks coming from wall outlets.
  • Lights that dim, buzz, or blink.
  • Outlets that feel warm to the touch.
  • Sharp odors or burning smell near outlets.

 If a power surge has already happened you’ll notice flashing lights on devices such as radios, clocks, microwaves, etc.  You may also find some devices won’t work at all. 

After a power surge, you need to reset or unplug and repower all electrical devices.  Check appliances, power outlets, and electronics for damage.  Your HVAC system may require a professional inspection.

Do I Need Power Surge Insurance?

According to the Insurance Information Institute, a homeowners policy will cover: 

“Sudden and accidental damage from artificially generated electrical current (does not include loss  to a tube, transistor or similar electronic component).”

Some, but not all, homeowners policies cover power surges caused by direct lightning strikes on your property.”

In other words, if your electronics or appliances are damaged by a power surge, your personal property coverage may help.  For instance, if the surge is caused by lightning and lightning is a covered peril on your policy, you will be reimbursed.  

However, if the power surge is caused by exposed wiring or overloaded circuits, your policy may not cover it.  Extra coverage is needed to protect you from these situations.  Talk to your agent about the benefits of adding equipment breakdown coverage to your homeowners policy.

Different Types of Power Surge Insurance Plans

Surge protection insurance plans protect items that can be plugged into an electrical outlet.  Your homeowners insurance company may allow you to modify your existing policy to cover power surges.  Furthermore, many major utility companies offer surge protection plans. The plans provide different levels of coverage, depending on how much you want to pay.  For example:

Surge Protection – Provides up to $2,000 of coverage for repair or replacement of qualifying items.  The plan protects you for one year with no deductible and you may cancel the plan without penalty.  Generally, this plan costs about $5.99 per month, depending on the provider.

Surge Protection Plus – Provides up to $5,000 of coverage for repair or replacement of qualifying items.  The plan costs about $8.99 per month for one year with no deductible.  It can be canceled at any time without penalty.

What Are the Benefits of Power Surge Insurance?

Surge protection insurance not only gives you peace of mind but provides several other benefits.  Surge protection insurance may cost a little, but, in the end, it will save you money. When compared to the cost of repairs or replacement of your belongings, the extra premium is worth the cost.  Also, surge protection plans make the process of getting devices repaired or replaced much easier. 

Contact the Homeowners Insurance Experts at Sandifer Insurance 

Many people mistakenly believe that their homeowners policy covers just about everything.  Far too often, they find out the hard way that they were wrong.  If you aren’t sure whether you need insurance for power surge damage, contact Sandifer Insurance Agency.

At Sandifer, we dedicate ourselves to providing the right insurance for your specific needs.  We’ll assess your current policy and recommend any changes that will align with your concerns.  As a local, family-owned company, we have spent over 40 years providing trustworthy, affordable insurance for clients in Cheraw, SC, and surrounding communities.  Our commitment to excellence in customer service is what makes us stand out from the rest.  

To learn more about homeowners, life, auto, farmers, or commercial insurance, reach out to us by phone, email, or online for a free quote.


Sources: – Which Disaster Are Covered by Homeowners Insurance? – What Is Equipment Breakdown Insurance? – Does Homeowners Insurance Cover Power Surge Damage?

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