Many people don’t know exactly what their homeowner’s policy does or does not cover. In the end, they pay more out-of-pocket for repairs. It’s crucial to understand your homeowners insurance exclusions to ensure you have adequate coverage.
In this article we explore what homeowners insurance covers, what it does not cover, common exclusions in home insurance, and the importance of reading the fine print.
What Is Not Covered by Homeowners Insurance?
While homeowners insurance provides valuable coverage, it does not cover everything. Standard policies typically exclude some events and situations. Understanding these exclusions is vital to avoid any surprises when you file a claim.
Here are some common exclusions in homeowners insurance policies:
- Flood damage: Most standard policies do not cover damage caused by floods. Flood insurance is practical if you live in an area prone to flooding.
- Earthquake damage: Similar to flood damage, earthquakes generally are not covered by standard policies. If you live in an earthquake-prone area, consider purchasing earthquake insurance.
- Sewer or drain backups: Although homeowners insurance covers water damage caused by burst pipes, it usually excludes damage from sewer or drain backups. You may need to purchase additional coverage or a separate policy to protect against this risk.
- Wear and tear: Homeowners insurance is not designed to cover regular wear and tear or maintenance issues. If your home requires repairs or maintenance due to aging or neglect, it’s unlikely that your insurance will cover the costs.
- Damage from pests: Damage caused by pests such as termites, rodents, or insects is generally not covered by homeowners insurance. It’s important to take preventive measures and address pest infestations promptly to avoid costly repairs.
- Nuclear hazards: Damage from nuclear events, such as nuclear explosions or radiation, is not covered by standard homeowners insurance policies. Specialized coverage may be available for this type of risk.
- Intentional damage: Homeowners insurance does not cover damage caused intentionally by the homeowner. If you purposely damage your own property, your insurance will not provide coverage.
Given these points, it’s essential to carefully review your policy and consult with your insurance provider to understand the specific exclusions in your coverage.
Common Homeowners Insurance Exclusions
While exclusions differ from one insurer to another, and will significantly impact your coverage. Examples of exclusions include:
- Acts of war: Damage caused by acts of war, including war, terrorism, or civil unrest, is typically excluded from homeowners insurance policies. Separate specialized coverage may be available for these risks.
- Mold and fungus: Health issues or damage caused by mold or fungus are often excluded from standard policies. If you live in an area prone to mold or have a history of mold-related problems, consider purchasing additional coverage.
- Power failures: Damage caused by power failures, such as food spoilage or damage to electronic devices, is generally not covered by homeowners insurance. However, some policies may offer limited coverage for power outage-related losses.
- Government actions: Property damage caused by government actions, such as seizure or condemnation of property, is often excluded from standard policies. Separate specialized coverage may be available for these risks.
- Pets: Injuries or damage caused by certain dog breeds or exotic pets may be excluded from homeowners insurance coverage. Some insurance companies may refuse coverage altogether if you own a specific breed of dog with a history of aggression.
By all means, review your policy carefully and consult with your insurance provider to understand the exclusions that apply to your coverage.
Sandifer Insurance Will Help You Understand the Common Homeowners Insurance Exclusions
Understanding what your homeowners insurance policy does not cover is just as important as knowing what it does cover. You can make informed decisions about additional coverage options and ensure you have adequate protection for your home and belongings.
So, take the time to review your homeowners insurance policy thoroughly. Familiarize yourself with the coverage, exclusions, and conditions. Be sure to read the fine print. Ask Sandifer Insurance to explain your coverage and exclusions.
If you want to know more about homeowners insurance exclusions, contact Sandifer Insurance Agency today. Reach out to us by phone, email, or online to speak with one of our knowledgeable agents. We will be happy to talk with you and make sure you have adequate insurance for your home and family.
policygenius.com/ – What Does Homeowners Insurance Not Cover? 13 Common Policy Exclusions