Common home insurance exclusions
People usually think that by having their houses insured they are automatically covered against virtually any peril that may damage or destroy their property or cause liability towards third parties. However, when reviewing the actual contents of the policy, especially the “exclusions” section people often get surprised to learn that some things won't be covered by the insurance company. If you don't want to find out about these exclusions when you actually file a claim and need the money, here are some of the most common coverage exclusions you will find in most policies:
Damage caused by sewage backflow
Having problems with a backflowing toilet is certainly one of those things that can spoil your day big time. And the damage can sometimes be rather serious since you will need to clean or replace the things that were covered by the smelly mess. And the least pleasant thing about it is that your insurance company won't cover the damage. Still, you can always buy an additional rider that isn't costly in order to get covered against sewage problems.
Lack of maintenance
Having your house insured means that the policy will cover unforeseen circumstances. However, if the insurance company finds out that the damage is caused by negligence it will deny your claim. For example, if you have a leak in the roof and don't repair it in time it can cause the roof to collapse during a heavy rain or windstorm. And the insurance company won't cover you since it was your personal responsibility that the house got damaged.
Not many people suspect that mold can actually be a serious problem and cause the entire structure to get damaged over time. And the least pleasant thing about it is that mold damage is usually excluded from the policy or the insurance company raises the premiums when there is one included. So if you think that your house can be affected by mold you'd better buy a special rider to get covered.
Wrath of nature
Home insurance is mainly targeted at acts of nature or technological disasters that can't be predicted. However, if you live in an area where a particular type of natural calamity is very likely (tornado, earthquake, flood, etc.) then it's very likely that the insurance company will exclude this particular damage type because of the high risk of people filing respective claims. So you'll have to review your policy and get a rider if necessary.
Injury caused by specific dog breeds
It may come as a surprise but injuries and damage caused by canines account for hundreds of millions of dollars to home insurance providers each year. And it depends what dog breed you have when it comes to covering the injury. Certain breeds like poodles are considered to be safe, whereas pit bulls will certainly be excluded from coverage. So it's always recommended to check the contents of your policy for such specific exclusions.
Collectibles and precious items
Some items like book or stamp collections can have a very low practical value yet have a significant personal and collectible value. As you may guess under home insurance you will be covered for the actual cost of items lost. So if you want to make sure that your collection is covered adequately it's recommended to purchase a separate insurance policy or a rider with the indication of the value you want to insure items for.