Home Insurance Add-Ons That Should be on Your Radar
Home Insurance should afford you plenty of protection. However, there are still numerous things that you won’t be covered for, which is why policy add-ons come in. Add-ons are changes or additions you can make to your current standing homeowner’s policy to fill potential coverage gaps. They are meant to provide extra coverage for amenities such as buried utilities, swimming pools, and more. Insurance policy add-ons allow homeowners to expand coverage to where they live, the things they own, and any unique home characteristics. All the right add-ons to your policy will create an umbrella for protection, so you are less at risk of losing money if any accidents happen.
Continue to read to find a comprehensive breakdown of frequently used insurance add-ons that can be purchased on top of your base policy.
1. Swimming Pool Coverage
A swimming pool is considered a nuisance among insurers, as it is a feature of your home that presents high risk. Typically, injuries that happen in or around the pool will not be covered by your basic homeowner’s policy, and neither will accidents related to pool accessories. Pools bring a serious risk of people hurting themselves; it is always important to know whether or not your homeowner’s insurance will cover you if a visitor were to slip and hit their head or break a bone. Coverage for injuries related to swimming pools can be excluded from your currently existing policy. However, it can always be added.
2. Equipment Breakdown Coverage
Equipment breakdown coverage, also known as EBC, makes your existing homeowners’ or renters’ insurance vigorous, covering additional damage to appliances and electronics. If there is a mechanical or electrical breakdown, EBC can provide $100k+ in coverage on any home appliance. With a more standard policy, your personal belongings will be covered from a list of named perils, for example, windstorms, fires, or vandalism. Adding EBC can protect most of the electronics and appliances in your home.
3. Buried Utility (BU)
Don Payne of Vision Realty had this to say about the importance of added-on buried utility coverage to your home insurance:
“Buried Utility, also known as BU, coverage is an add-on available to your homeowner’s insurance that will cover underground utility lines–gas, water, and sewage–as well as underground wires like powerlines and electrical cables on your property. Coverage up to $10k for loss or damage to underground utility lines due to tear, leak, break, or collapse caused by any of the following can be covered.”
- Mechanical breakdown.
- Electrical current is artificially generated.
- Wear and tear.
- Freezing.
- Weight of animals, people, or equipment.
4. Water Backup
If the water damage was caused by a sudden or accidental issue, your homeowner’s insurance could aid in the coverage of the damage. However, if the water damage was caused by poor maintenance on your end or general wear and tear, you more than likely won’t be covered. It is less about the type of water damage and why the damage occurred in the first place. If you want to be ensured that you are amply protected from water damage, you can purchase water backup coverage, which will cover your things if a pipe or sump pump backs up and creates water damage to your home.
5. Extended Reconstruction Cost
When it comes to extended reconstruction cost add-ons, additional coverage for the cost of rebuilding your home ends up higher than expected. This type of coverage can come in handy if there is a loss of your home and the cost of repair ends up exceeding the policy’s dwelling coverage amount. In the end, it can be more economical for you to add on extended replacement cost coverage because this type of coverage will kick in after your full dwelling limit becomes exhausted.
The Bottom Line
You have the power to refine your home’s insurance coverage to reflect your needs. If it has been a while since you have taken a good, hard look at your coverage, it is time to pull up your homeowners insurance plan for an accurate summary. Your Las Vegas home should be your sanctuary, and you want to keep it so by ensuring that it is kept safe, which is why adding on needed insurance is so important. Let the professionals at The Las Vegas Luxury Home Pro guide you in finding and settling into your dream home in the many wonderful neighborhoods that make up Las Vegas, NV, today!