Does Home Insurance Cover Theft from Your Home?
Home insurance typically covers your personal property, which includes items like furniture, clothing, and electronics. Theft is a named peril under Coverage C (Contents) of your policy, meaning if someone breaks into your home and steals your valuables, your insurance should cover the loss. Additionally, home insurance will often cover any damages to your house during a break-in, such as broken windows, doors, or locks.
Your personal property coverage is usually a percentage of your dwelling coverage—typically around 50%. However, you should assess the value of your belongings and adjust your coverage as needed to ensure full protection in case of a significant loss.
Does Home Insurance Cover Theft Away from Home?
Home insurance can also cover theft of property away from your home. Your policy protects your items if they’re stolen while traveling, from a car, a storage unit, or even a dorm room. For example, if someone steals your laptop at a café, your insurance will cover it up to the limits of your personal property coverage. However, theft away from home is generally limited to 10% of your total personal property coverage.
Filing a Theft Claim
If you’ve been the victim of theft, filing a home insurance claim can help recover your losses. Start by assessing and documenting the damage—take photos, make a detailed list of stolen items, and estimate their value. Pro tip: having a home inventory on hand can make this process much easier. Before filing a claim, ensure that the loss exceeds your policy’s deductible to make the claim worthwhile. It’s also important to file a police report, as this documentation will help your insurance company and assist in the recovery process.
Once you’ve gathered all the necessary information, you can file the claim with your insurance company. You’ll need to provide details like the date of the theft, what happened, and the damages involved.
Once the insurance company approves your claim, they will issue a payout for the damages. The amount you receive depends on whether your policy includes actual cash value (ACV) or replacement cost value (RCV) loss settlement. Policies with ACV factor in depreciation when determining the value of your items, while policies with RCV cover the cost of replacing the stolen items with new ones. Keep these differences in mind when choosing your home insurance policy to ensure you have proper protection.
As always, coverages vary by policy, so we encourage you to contact your licensed insurance agent with any questions about your specific policy coverages.
Protecting Your Home from Theft
While home insurance can help cover losses from theft, it’s always better to prevent a break-in before it happens. Here are some quick tips to safeguard your home from intruders:
- Install deadbolt locks on all exterior doors.
- Set up motion-sensor lighting around your property.
- Invest in a home security system.
- Trim bushes and landscaping to eliminate potential hiding spots.
- Store valuables in a secure safe.
- If you’re away, leave lights or a TV on to create the appearance that someone is home.
For more tips on securing your home, check out this article from U.S. News.
Secure Your Home Today
Taking steps to protect your home from theft is essential but having the right home insurance provides peace of mind. Whether you’re looking to adjust your current policy or need coverage for the first time, getting the right insurance is key to safeguarding your valuables.