Homeowners Be Sure You Know What Your House Insurance Does Not Cover

Many homeowners have learned a difficult lesson in the last few years about the limitations of their house insurance policies; many believed that the policy's water damage coverage protected them in flood situations only to find out after a flooding disaster that they were mistaken.

But this is not the only misconception that cost house millions of dollars each year; the National Association of Insurance Commissioners conducted a homeowner survey and found that many people think they have house insurance protection when in reality they do not.

Here are some of the most common things that are NOT covered by house insurance:

1. Cars, boats and motorcycles stolen or damaged on your property.
2. Damages from a water line break on your property that supplies water to your home.
3. Damages that result from a sewer line break on your property that connected to the municipal sewer system.
4. Damages from earthquakes, mold or termite infestation
5. Pets that are stolen from or injured on your property

If any of the conditions listed above could apply to you, now is the time to take action to talk to your insurance company and find out how you can enhance your house insurance to better protect yourself and your family.

Homeowners should also add insurance as the value of the house increases. As your list of possessions begins to include expensive items such as antiques, computer or entertainment equipment you need to ask your house insurance agent which type of coverage will provide you with the best protection. In some cases, high-technology equipment may need a special type of coverage.

When you make significant improvements to your home you should notify your house insurance company of major home renovations of $5,000 or more so that your house insurance can be updated.

Homeowners must remain alert to possible threats to their liability coverage. Be aware that in some areas if you entertain guests on your property and provide alcoholic beverages for consumption you can be held legally responsible for the actions of any person who has an accident in your home or after they have left your home. In addition having an in-ground pool or trampoline on your property, as well as excessive clutter or any condition that could produce danger to a person increases your potential for liability lawsuits. Discuss your house insurance with your agent to find the best ways to reduce your liability risks and lower your premiums.