What Not to Expect From Homeowner's Insurance

 

While each homeowner's insurance policy out there may be slightly different than the next, there are certain factors that are common to most. The only way to know exactly what your policy covers and doesn't cover is to read it from top to bottom.

If you're unclear about any parts of the policy, get together with your agent or broker and get a clear explanation. Don't forget the fine print. It may not seem to be the most interesting reading, but it's important to completely understand what your homeowner's policy covers before you suffer a loss and find out your claim is denied because you weren't covered for that particular peril.

What's Not Covered By Homeowner's Insurance

Two major perils not covered by standard homeowner's insurance include floods and earthquakes:

Floods may be caused by water coming into your home from and outside source. This can include natural sources such as a rising stream or rivers or torrential rains causing flashing floods. Man-made flooding may be caused by sewer backups or a burst dam. None of these would be covered by a standard homeowner's insurance policy.

Earthquakes or other land movements such as sinkholes are also typically not covered by standard homeowner's insurance. To be covered by these disasters your must take out additional insurance specific to earthquakes or sinkholes or, if your insurance company makes it available, get a rider to your homeowner's insurance coverage.


Most flood insurance is purchased from the National Flood Insurance Program (NFIP), which is a U.S. federal government program overseen by the Federal Emergency Management Agency (FEMA). It's available through most major insurers.

Garage Fires

If your home is consumed by fire and burns to the ground, don't expect your homeowner's insurance to pay for repairing or replacing your car that was parked in the garage. Most standard homeowner's insurance policies exclude coverage for motor vehicles such as cars, motorcycles or boats. An exception may be made for things like lawn mowers or snow blowers. As always, read the fine print. Talk to your agent if you're unclear about what exactly is covered. Bundling your vehicle and home insurance with the same company can help simplify this kind of claim.

Just as every homeowner's insurance policy may be slightly different than the next, most policies can also be custom-written to cover what you want, as long as you're willing to pay the premium charged.