Insurance myths & realities

MYTH
I don’t need an inventory; I have insurance.

REALITY
Without a document that contains a list of your belongings, and photos to back up your written report, you will forget a large number of items. It’s hard enough just trying to remember when you’re sitting here, relaxed and comfortable. If you were under the stress of just having experience a loss, it will be impossible! Insurance companies required you to fill out a claim form; thus, if you don’t list something you won’t receive money to replace it.

MYTH
If I have a disaster, I’ll get a check for the amount of my coverage.

REALITY
They won’t just cut you a check without an itemized list, and often will require proof of ownership. For example, a stolen 42” television brought a theft victim only $400 because he couldn’t prove it was a big screen TV.

MYTH
My jewelry isn’t worth that much.

REALITY
Insurance policies have limits on items, and jewelry commonly has a limit of $2500. That limit isn’t per piece; it’s for the total of all jewelry and watches.

MYTH
We don’t have anything worth inventorying.

REALITY
Anything you own that you can’t afford to replace without financial help is worth something! What is the amount of your coverage?

MYTH
I’ll be able to remember everything.

REALITY
Try it. Close your eyes and list everything in the room. Don’t forget the items in closets and drawers.

Talk to your agent; ask these questions. If he or she is too busy, or won’t take the time to help you understand your policy, it’s time to find a new agent!