Soooo….your house has been hit by a burglar. And burglary sucks. You had some really nice stuff. Or you at least liked your stuff enough to have it still. So, how do you get it back? Usually, it’s not like the burglar walks back up to your door and says, “Hey, just kidding. Here’s your stuff back.”
The good news is that your home insurance may cover your stuff if you’ve been robbed.
HOWEVER COMMA, you have to have the right type and amount of insurance to cover your personal belongings against things like burglary.
Here’s the sitch: There’s a thing called personal property coverage, but there are two ways that you can insure your stuff. You can insure it for actual cost value (ACV) or replacement cost value (RCV).
If you’re insured for your stuff’s ACV, your insurance could pay out enough money to help you replace your things…but it’ll take depreciation into account.
So, the check that you get to replace the really nice furniture that you bought for $500 may look more like $200. Because it depreciated after you bought it.
Now, if you insure your stuff for its RCV, then your insurance could help you replace your stuff at the rate it costs today. So, if that same furniture now costs $700, then your homeowners’ insurance could cut you that check.
So – that’s ACV vs. RCV in a nutshell.
Make sure that your policy limits are high enough to cover all of what you lost, though. And that you’ve taken a home inventory before you were burgled. Home insurance can’t cover what they don’t know you have.
You also can’t get covered for things like burglary if you don’t have home insurance at all. Luckily, our experts are here to get you great rates to keep your stuff safe. So, give us a call, fill out a form, or slide into our DMs. 😎