Your home is perhaps one of the most valuable possessions that you hold, yet about two-thirds of Americans have inadequate insurance. This could be due to the fact that 50 percent of policyholders do not fully understand their insurance policies. The following are five emergency situations that you may not be covered for.
Earthquakes
Earthquakes are expected in some regions of the United States like Florida or California, but that is starting to change. Researchers have found that the moving mantle under the earth could lead to earthquakes in unexpected regions, yet most homeowners do not have earthquake or sinkhole insurance. Calling your insurance company as soon as possible is a good idea.
Construction
You may need to add some renovations to your home quickly. You might expect that your home insurance covers you should anything happen, but this is not the case. This is why it is important to ensure that a contractor is licensed for liabilities and that you update your insurance, at least while having a renovation done.
Stolen Valuables
Home insurance companies may cover jewelry or valuable collectibles, but these are not always fully covered, especially if they are particularly valuable. It is very important to talk to your insurance company about the value of your valuables and how they can be properly insured just in case. Remember, it will be hard to convince an insurance company that you have cash stashed at home. This means it might be better to secure extra cash elsewhere or take precautions like a water and fire-resistant safe.
Floods
Homeowners may assume that floods are covered, but they are usually excluded. This exclusion includes some issues related to floods—such as sewer blockage or mold. Of course, calling water damage specialists like the First General Services or other professionals that may be closer to you will be helpful if you ever have to deal with water damage, but hopefully it does not come to that.
Termite Infestation
Termites can cause a lot of damage to a home. You might imagine that any reputable home insurance company will cover damage caused by these vermin, but you might be surprised. Keep in mind that termite damage is estimated to cost around $5 billion a year, but home insurance does not usually cover this.
It is really up to you, as the homeowner, to take control and ensure that you are covered for everything. Be sure to take precautionary steps as well, like calling plumbers to inspect your plumbing, or you may want to hire a termite inspector. Hopefully, these tips help prepare you for an emergency.
