The Never Ending Erosion of Coverage - Do you know what you are covered for?

When purchasing insurance coverage for your home or business, you expect to be covered when you have an insurance claim.  When you least expect it, then comes along that one day you need to file a claim and you are blindsided by your insurance company when they say you are not covered.  I cannot tell you how many times we have heard “I didn’t know I wasn’t covered” and “Why didn’t my agent tell me”.
 
I refer to this as the never-ending erosion of coverage by the insurance industry. Our insurance agents should be explaining coverage to us, or should I say, the lack thereof.  Many agents go the extra mile, as they should, and explain coverages to their clients.  However, some do not and then beg the questions above.
 
An All Risk policy is supposed to be exactly that and cover us for our insurance losses, but they no longer do.  The insurance companies are either placing limits on coverage or excluding coverage all together for example …
 

• Roof leaks, not caused by a wind or hurricane event, are no longer covered under most insurance policies. So, if your roof leaks into your home or building and causes damage to the interior and your contents, you may not covered for any of the damage.

 

• Water damage exclusions. With this exclusion in place, if a plumbing or waste line pipe breaks or the HVAC system leaks into your home or building and causes water damage to the interior and contents, you may not covered for the damage.

 

• There are some policies with coverage limitations for leaks of any kind that go on for a period of 14 days or more whether hidden or not.  Some of the carriers recently added language to their policies that the damage caused in the days preceding the 14 days will not be covered if this limit applies.  Once again, not covered for the damages to your property or the contents.

 
It is so important to understand and know what you are covered for and what you are not. We offer policy reviews and suggestions for coverage based on our years of experience. Remember, we are also homeowners and business owners.  If you have any questions or concerns about your policy, please contact us.