Personal Property Insurance

While property insurance often includes personal property, it is important to remember that they are not the same.  Personal property insurance covers any thing you have that is not affixed to the building itself.

One very important thing to keep in mind when looking at personal property insurance is the actual cash value of the items versus the replacement value.  You have the option to choose between insuring your item for one value or the other.  For small business owners, it is strongly recommended that you insure your items for the replacement value.  It will make your premium a bit more expensive but it will help you restart your business quickly and smoothly after a disaster.

Many insurance companies do not offer replacement cost coverage on all items, however.  These items include antique heirlooms or items that may no longer be available for sale.  They may, also, opt to limit the replacement value of items.  This means they might not compensate for the entire cost, but they would still cover it for a high percentage of the replacement cost.  This will still save you a lot of money should you need to cash in on your insurance.

Personal property insurance does distinguish between weather-related losses and other kinds such as fire and vandalism.  There is an additional cost for hurricane and/or flood damage. Be sure to ask these questions of your agent before you make a decision. 

To make life easier for yourself before you sign on the dotted line and at the time you might need to use the insurance coverage. Make of list of all the important items you have including model and serial numbers, take pictures of your items and keep all the receipts you can find.  Once you have done this, go to iBank.com and register to speak with insurance agents who will provide you with the necessary guidance in choosing your personal property insurance coverage.
 

Most Recent Postings