Your Homeowner’s Insurance Policy – Dissected: Part 3 of 5

Your Homeowner’s Insurance Policy – Dissected: Part 3 of 5

By Krista Farmer

If your homeowner’s insurance policy has been stuck in a drawer, cabinet or just tucked mindlessly away somewhere, it is probably about time to pull it out, shake off the dust and make sure it’s still up-to-date. This article is the third in a series of five articles that will help you decipher your homeowner’s insurance policy.

The laundry is piling up again, you really want to find out what’s happening between McDreamy and Dr. Grey and now that the kids are in bed, you just want to sip on some chamomile tea and forget about everything else. The last thing on your mind is your homeowner’s insurance.

While keeping your homeowner’s insurance updated is a dismal task, it is of utmost importance. As discussed in a previous article, not only is it important to purchase homeowner’s insurance, it is just as important to know what that policy covers.

Homeowner’s insurance policies contain several different coverage areas. The topic of the previous article, Part 2 of this series, discussed insuring the detached structures on your property. This article will explain how to insure your personal items and belongings.


In addition to covering your home and detached structures, your homeowner’s insurance also includes compensation for theft of or damage to your personal property. Keep in mind that every homeowner’s insurance policy is different.

Because every single homeowner’s policy is unique, you need to know what your policy’s coverage limit is. The average coverage for personal items in the typical homeowner’s insurance policy usually ranges from 50 to 75 percent of the price your home is insured for, depending on your insurance company. Confused? Don’t fret.

In a nutshell, if your house is insured for $450,000, your personal belongings should automatically be covered for between $225,000
(50 percent) and $337,500 (75 percent). Again, however, your policy may be different. This is a very important detail, so be sure to check your policy!

In the end, it is essential to know what you’re covered for because each homeowner’s insurance policy is different. You need to know what yours limits or excludes.

Is your homeowner’s insurance policy up-to-date? (Some policies automatically update your home’s current value. Does yours?) While it is easy to let that dust settle over your policy from year to year, keep in mind that putting it aside could cost you much more in the end. Your homeowner’s insurance policy may make heavy reading, but it will be even more burdensome should you not know what is covered in it.

To read more articles about health, auto, life and homeowner’s insurance, check out

*Please note that this article is not a professional consultation. This article is for general information only. Always seek specific information from a licensed insurance professional.*

To catch the latest news about HometownQuotes, click here.
To read articles about auto, health, life and homeowner’s insurance, click here.

Share this Article
Farmers - The Hartford - State Farm - Kemper Direct - Nationwide - Allstate - New York Life