What Is Scheduled Personal Property Coverage?

What Is Scheduled Personal Property Coverage?

Standard homeowners insurance includes coverage for your personal property, but the coverage has specific limits for high-value items such as diamond rings, expensive watches, fine-arts, and other valuables.

In order to adequately cover these valuables, you can add a scheduled personal property endorsement onto your homeowners policy.

A scheduled personal property endorsement allows itemization of your valuables at their most recent appraised value, so you can insure your valuables at their true value and not be limited to the standard limits of homeowners insurance.

Do I need scheduled personal property coverage?

In your home, if there are high-value items such as your engagement ring, expensive cameras, rare coin collections, we strongly recommend looking into this coverage. 

Below is a general list of valuable belongings that most people choose to itemize under a scheduled personal property coverage:

Jewelry & Fur

Fine Arts

Expensive Cameras

Music Instruments

Stamps & Coin Collection

Firearms

Expensive Golf Clubs

Computer & Computer Equipment

Jewelry and watches are the most common items found under this coverage

The main reason is because most homeowners insurance policies limit jewelry theft protection at $5,000 and often capped at $1,000 per item.

According to a survey done by a popular wedding planning website (The Knot), an average American spends $5,900 on an engagement ring. This amount far exceeds the personal property coverage provided in most standard homeowners policy at $1,000 per item. 

For this reason, it is important to consider scheduled personal property coverage for financial protection of your engagement and wedding rings.

What are other benefits of scheduled personal property coverage?

In addition to financial protection from covered perils, scheduled personal property offers some great additional benefits: 

Broader Protection

Accidental loss such as dropping your engagement ring down a kitchen sink.

No Deductible

You get the entire replacement value of the insured item.

In comparison, without itemizing your valuables with scheduled personal property coverage, a standard homeowners insurance policy typically does not cover accidental loss and it carries a deductible between $1,000 to $2,000 per claim. 

An appraiser is examining an engagement ring | Scheduled Personal Property Coverage.

What information do I need to apply for scheduled personal property coverage?

Adding scheduled personal property coverage to your policy is very easy. All you need to do is to show documentation for proof of value. You may provide a copy of:

Paid Receipt (Bill of Sale)

Recent Appraisal

Recent Photos & Detailed Description

After your scheduled personal property endorsement is added to your homeowners policy, the additional premium will be combined with your homeowners insurance premium.

How much does scheduled personal property coverage cost?

The cost is dependent on an item's appraised value: the higher the appraised value of an item, the more the premium to insure that item. 

Other factors such as varying risk of theft and accidental loss are also considered. 

For example, a jewelry piece will tend to cost more to schedule than a music instrument because a jewelry piece is worn often and much smaller, and therefore it carries a higher risk of theft and accidental loss.

Update your appraisal periodically

Some insurance companies account for inflation of an insured item at policy renewal, and others insure the item only at its stated value. To ensure that the policy provides sufficient and accurate financial protection, we recommend updating the appraisal of your insured items every 5 years or so.