It’s that time of year. My Homeowner’s Policy rolls over. I looked at it.
A) I’m severely underinsured. In the last 8 years, this town has exploded, real estate-wise. The company has gotten back to me on this, sent me a form and will assess my home accordingly.
B) I have never detailed ANY of the contents of the house for insurance purposes. Mainly, it’s been a potpourri sloth and denial. Now, with a digital video camera with a Memory Stick built in, I can shoot something like 168 stills at a clip before even downloading them. I can write a detail on each photo, and send the burned CD’s and written details to the insurance company.
Here’s the question- how detailed DO I need to get? If the house burns to the ground, and the Adjustor sees a photo of the kitchen, will she/he need to know model numbers and ages on dishwasher, stove, fridge, etc? Will it matter that much? Will I need to lay out the good silver and count each fork ( I will be glad to do so, if such a thing does indeed make a difference ).
The few musical instruments we have are almost worthless, from what I’ve been told. There is the incredible emotional value. Do I shoot pictures of those as well? How much is too much info? Will an Adjustor be thrilled at several hundred shots of rooms, appliances, jewelry, CD players, computers and the like? Or, will it irk them more than help me?
Help ! Doing the drudge work is fine with me, as long as I believe it will serve a useful end. Suggestions?
I’ve never had to do this myself, but I’m thinking I probably should.
Anyway, I’d take the more-is-better approach. I don’t imagine they’re gonna itemize each and every thing and place a value on it before your house burns down.
I agree - more is better in this case. Should the worst happen and you lose everyting, that’s not the time to rely on memory. I suppose I should do the same thing. Can I borrow your camera?
I’d question sending the CDs to the insurance company, tho. Are they willing/equipped to keep them? I would think a safe deposit box would be a better choice.
Good question. Unlike the cumbersome and unacceptable space gobbler of sending 250 photos ( or, whatever it winds up being…), sending 250 photos on CD-ROM is one, maybe two CD’s. They are So thin, that they can be placed into my file, along with my contract and never be a bother to anyone.
That’s the thinking anyway. Additionally, CD’s can be burned in multiples easily enough, I can have a set with the Insurer, a set at home, and a set here in town at a friend’s house. That way, there’s redundancy.
What I have done is a similar thing, but with a camcorder. The wife and I walked around taking footage, while she talked about the item. Brand, model, cost, etc. for the major items, including the larger peices of jewelry. In some cases, the commentary was more along the lines of “This is our fridge, a GE that we got in 1995 for $300.” We were more specific with model numbers for things that were likely to be stolen (stereo, camera)
I don’t think they need a copy of your inventory right now, but if anything happens, it’s easier for them and you to wade through and weed out superfluous information than to try to guess at things.
You know, my closest friend on the planet said the same thing to me last night. She said, [paraphrased quote] Are you sure they would want to have that stuff in their files? Would it be just as good to keep it at home in your files, until you need it? [/paraphrased quote]
Yeah, but when the house burns to the ground in an awful tragedy…uh…the documentation proving what I owned…would be…lost. That truly worries me. Apparently, both of you are in the great majority, anyone I’ve talked to about this has said that they keep this stuff on site.
Nah, I’ll spread the wealth around and send off a CD or two. It’ll make me feel pro-active, and make them wonder if they need to buy new filing cabinets. All in all, a wise choice, I feel.
You should invest in a fire-proof box/mini-vault and keep it in the home. They’re great for storing valuable papers, such as birth certificates and passports, and for these types of electronic records.
Um, chances are the explosion has to do with the cost of the LAND that the house is built on, since home construction prices themselves haven’t gotten that much more pricey. Since you don’t insure your land against damage (unless, I imagine, you have a bunch of expensive landscaping that you wish to protect against fire), you’re probably not as under-insured as you think.
If a disaster happens and you lose everything in the home, you don’t get a check for the value of the property from the insurance company, you get a check for the amount to rebuild and replace.
You need to consider the type of policy, is it for a fixed amount, say enough to cover your mortgage (which the lender probably requires), or do you want total replacement cost. The second is more expensive and if something does happen, your insurance company adjuster will probably get real nit picky. I have special riders for certain items, such as guns and jewels.
Also, depending on where you live, you may want to insure against things like earthquakes and mine subsidence. Flood insurance is through the government.
I keep a list of anything over $100 in value with the receipt in a folder in a fire proof safe (I know, how anal).
My bolding. yes, that is exactly my concern. Lacking full and accurate documentation, they won’t be inclined to replace much because they won’t know WHAT was lost !!!
Your home will only qualify for replacement cost if it is insured to 80% of value. Call your insurance company and ask them to do a cost estimator for you.
If you have a lot of personal property, it’s a good idea to have replacement cost on your contents. Personal property coverage is 50% of the dwelling amount. When you have replacement cost on contents it raises this to 70%. This generally will only increase the annual premium by about 10%.
Use a video camera to document your belongings. Make a copy. Keep 1 copy in your house in a fire-proof box. Give the other copy to a family member.
