When Is It The Right Time To Get A Rider On My Home Insurance Policy

Do you know for certain that you have as much home owner’s insurance as you need? Most homeowners might know that they are somewhat covered in the case of robberies and fires. But when it comes to the exact extent of that coverage—quite simply—most of us have no clue whether we have enough coverage or the right coverage.

If you want to fully protect your home and your finances, then you’ll need to consider getting a home insurance policy rider or possibly more than one.

When Is It The Right Time To Get A Rider On My Home Insurance PolicyWhat is a home insurance policy rider?

A home insurance policy rider, or endorsement, gives you extra coverage on your home insurance policy. Riders are special conditions that give added protection for property that is not adequately covered by a traditional home insurance policy.

What can be covered by a home insurance policy rider?

A home insurance policy rider can cover valuable property that doesn’t get full coverage in a standard home insurance policy. Things such as jewelry, collectibles, very valuable silverware, fine art, other valuable material property, and even home office equipment may be covered by adding a home insurance rider to your current policy.

Most home insurance policies only cover a fraction of the losses from damaged or stolen valuables such as the ones listed above. Some home owner’s policies will not cover things like stolen jewelry at all without a home insurance rider. If you have valuables in your home and want them to be protected, then you need to get a home insurance policy rider to do so.

Home owners can also protect themselves from zoning and building code changes by getting a homeowners insurance rider for rebuilding. A code and contention home insurance rider can help pay costs if you are forced to update due to changes in building codes or if you need to rebuild due to rezoning.

How much should my home insurance rider be?

The cost of a home insurance rider may vary dependent on the insurance company and on how much coverage you want. You should have your possessions appraised and include an itemized list of each piece you want covered in your rider. Cost of coverage depends on the type of item being covered: jewelry coverage may cost $1 per $100 of coverage, while coverage for fine art may be as inexpensive as $25 per $100.

If you work from a home office, most likely your insurance policy will not cover damages over a few thousand at the most. People who work from home and have expensive home office set-ups will need to protect themselves with a rider for home business equipment.

To fully protect yourself against building code and zoning law changes, you’ll need to purchase a home insurance policy rider that is enough to pay for unexpected rebuilding or remodeling costs. This can be especially true if you own an older home. Building code changes may require you to make expensive updates to your home or construct a newer and sturdier foundation. If you have a home insurance rider that covers you, you won’t have to worry about staying in line with updates in building codes.

The best advice that a homeowner can take is to sit down and carefully review the policy from time to time. Even if your current policy offered adequate coverage when you first got it, your insurance needs may have changed since then. Determine your home insurance policy needs based on your most up to date requirements.

If you find that your current coverage is inadequate, and then make the necessary changes to your policy. If you want full protection for the valuables in your home, for natural disasters not named in your policy, and/or for building and zoning changes then you should also get the appropriate home insurance policy riders.