FREQUENTLY ASKED PERSONAL INSURANCE QUESTIONS
Q. Can I purchase homeowner coverage if I own an aggressive dog breed?
Answer: Insurance carrier’s policies can vary greatly. Special circumstances may apply to obtain homeowner’s insurance such as waiving the liability coverage for any dog bites or injuries caused from “blacklisted” dog breeds: Akita, Alaskan, Chow, Doberman Pincher, German Shepherd, Malamute, Pit Bull, Presa Canario, Rottweiler, Siberian Husky, Staffordshire Bull Terrier, or Wolfdog.
Q. Is my recreational vehicle covered under my homeowner policy?
Answer: Typically, recreational vehicles like ATV’s, Barbie Jeeps, Go Karts, Golf Carts, large watercraft, motorcycles, and snowmobiles are NOT automatically covered under your homeowner policy. These items must be endorsed for liability or insured specifically on their own policy in order to gain coverage. The only motorized equipment covered under a homeowner policy is a lawnmower, as it is used to service the premise.
Q. Is my home covered for flood damage?
Answer: No. Flood is specifically excluded from all homeowner insurance policies. This coverage is a federally subsidized program with rates set by the National Flood Insurance Program but can be written through your local agent.
Q. Is my home covered for earthquake?
Answer: Not unless endorsed onto your policy. Some companies still offer earthquake coverage, although some other companies have pulled out of the earthquake coverage market altogether.
Q. If I hold a holiday party in my home, am I covered?
Answer: Yes, most policies provide liability coverage for host liquor liability at your home or another location, as long as you’re not charging for alcohol. Of course, good judgement needs to be used where alcohol is served, as liability does not cover a criminal act such as underage drinking.
Q. Do I need renter’s insurance?
Answer: Yes, we recommend renter’s insurance if you do not own a home, but live in a home furnished to you, rent a home, apartment, manufactured home, or condo. The building owner has NO obligation to provide you with coverage for your personal property or your personal liability. This is your responsibility. The standard policy is fairly inexpensive and is geared to cover your furniture, clothing, electronics, dishes, jewelry, owned appliances, and even your pots and pans against perils such as fire, tornado, theft, and water damage from a broken pipe subject to your deductible.
Q. Does my homeowner policy cover my medical bills if I get hurt?
Answer: No, the policy does not provide coverage for residents of the home. The medical coverage provided under Section F of the policy is for guests on the premise.
Q. Do I need to make a list of my personal property?
Answer: While not required, this is a wonderful tool in the event of a total loss covered by insurance. The company will request a list of lost items along with value and date purchased for the larger-ticket items. A video recording or pictures to support the list is also highly recommended. Remember to keep the list and supporting video/photos off site.
Q. How much personal liability coverage do I need?
Answer: Liability limits of $100,000 are usually included in the base policy premium. Limits of $300,000 and higher are also available at minimal cost. A personal umbrella is recommended for limits higher than $1,000,000.
Q. What is an inland marine floater?
Answer: An inland marine floater is normally a rider to a homeowner policy that affords special coverage for certain items such as jewelry, fine arts, coins, collectibles, or guns to name a few. This coverage separates the item from the personal property limit designated on the policy and affords its own pre-determined limit, coverage, and deductible.
Q. Why do I have to pay a deductible?
Answer: All homeowner policies come with a pre-determined deductible. The deductible is the amount you “self-insure” in the event of a covered peril loss such as fire or theft. The higher the deductible, the lower the premium rule does apply in most instances but it may not warrant enough of a savings to carry the higher deductible. Some companies require a separate deductible for wind/hail losses as opposed to the previously familiar all-peril deductible. Other endorsed coverage may have a special deductible applied which may be higher/lower than the standard deductible.
Q. Does my insurance cover a drone or hobby aircraft?
Answer: A drone or hobby aircraft has limited coverage and can vary from policy to policy. There are two aspects of a homeowner's policy that are considered - property and liability. The physical damage of a drone or hobby aircraft is covered if damage was caused by a covered peril (fire, lightning, tornado, etc.). A deductible may apply. A drone or hobby aircraft may not be covered if it were to be wrecked or damage caused by the operator.
As for liability for a drone or hobby aircraft, there may be some exclusions to be aware of. One exclusion is the personal injury by violating the rights of another person (Invasion of Privacy) or any other violation or penal law and ordinance that was committed. Another exclusion for drones and hobby aircrafts is for business use. For further explanation, please consult with a Jacob Insurance Service agent regarding property & liability insurance for your drone or hobby aircraft.
Information (FAQ) is provided for your convenience and does not constitute professional advice. If you have additional insurance questions, please contact our agents for a personal meeting.