Does Homeowners Insurance Cover Theft?

Does Homeowners Insurance Cover Theft?

Does homeowners insurance cover theft?

Homeowners insurance covers theft of your personal belongings both inside and away from your home, but coverage for expensive valuables like jewelry and collectibles may be limited.

A standard homeowners insurance policy covers theft of personal belongings inside and outside of your home. So whether your personal possessions are stolen from your house or hotel room, homeowners insurance can help replace your stuff. And if your home is damaged or vandalized during a break-in, your policy can also help you cover any necessary repairs.

Does homeowners insurance cover damage to your home during a break-in?

Yes, here are two different coverage components that will cover your home after a break-in:

  • Dwelling coverage: Pays to repair structural damage to your home, like if a window or locks are broken during a burglary, up to your dwelling coverage limit. 

  • Other structures coverage: Pays to repair structural damage to other structures on your property, like if someone breaks into your garage, garden shed, or guest house, up to your coverage limit — which is typically set at 10% of your dwelling limit.

Most standard policies have actual cash value personal property coverage by default, but you can typically upgrade to replacement cost for an additional cost. If you’re not sure how you’re reimbursed for personal property loss, ask your insurance agent or check your policy declarations page.

In additional to burglary inside your home,  your personal property coverage will generally cover theft in the following circumstances:

  • The theft occurred away from your home. If you're on vacation and your luggage is stolen, your insurer can help replace your property. Off premises covergage is typically capped at 10% of your personal property coverage limit.
  • A guest's personal property was stolen. If a nonresident's stuff is stolen from your house, your homeowners insurance may cover their things, too.
  • Your child's dorm room was boken into. If your kid is away at college and their dorm room is burglarized, that may be covered by your homeowners insurance as well. However, if they move into off-campus housing, your insurance may no longer protect them.
  • Personal property was stolen from your car. Theft of personal belongings inside your car are also generally covered by homeowners insurance.

How to file a homeowners insurance theft claim

If you come home and it’s apparent that someone broke in, here are a few steps to take: 

  • Call the police. Not only is this for your general safety, but your insurer will require a police report before your theft claim is accepted. 

  • Make sure everyone is safe. You’ll want to make sure the coast is clear and that everyone is safe before making any next moves.

  • Contact your insurance agent. Be sure to give your claims representative as much information as possible when filing your claim.

  • Take photos of the damage. Take photo evidence of any damage to the structure of your home and property. 

  • Make temporary repairs. Make any temporary repairs to your home and secure it against further breaking and entering. If your claim is accepted, your insurer will reimburse you for any temporary repairs you made, so keep all of your receipts.

Give Aury or Heather a call to have your homeowners' insurance policy reviewed. Call for a free consultation. 1-877-4-Licata or (845) 368-2700.