Your insurance company will always try to assess the risk exposure of any property they insure. If the risk is too great it may very well be declined or need to be insured in another market at a surcharged premium.
Although some large stock companies may never view your home, you will find that most mutual insurers including Erie Mutual provide a loss prevention department to inspect and assist in the valuation of your property. The true value of having your home inspected by your insurer is having a service provided at zero cost to our members while providing peace of mind that your home and buildings are insured to value and that your family is kept safe from hazards or risks identified.
Typical liability risks at any residence may include basics such as a swimming pool, outdoor hot tub or even a pond in the yard. These risks are considered minimal given that they meet guidelines and bylaws regarding fencing or a locked gate. A small premium is normally charged in addition to your base liability rates for the additional risk involved. Your home policy may also be extended to include additional properties insured under the same policy. A seasonal residence is the most common example of this.
Risks outside the norm often include anything not always typical of a residence. Your home-based business, for example, requires a commercial insurance policy separate from your home regardless if you have customers visiting the business onsite or not. Your home insurance is just not meant to insure a business of any nature.
Other Residential Liability Extensions May Include:
- Fuel Oil Tanks
- Saddle or Draft Animals
- Golf Cart (used at locations other than a golf course)
Extensions to your liability are an easy addition to your residential policy but are even more often found under farm insurance. If you’re not sure what needs to be included or extended from your farm liability, it is recommended to speak with a farm insurance specialist. They can amend your policy to include any of the following farm liability risks:
- Saddle animals both owned or boarded for others
- Roadside fruit or vegetable sales
- Additional farmland owned or rented for the purpose of agriculture
- Excess self-propelled equipment above policy limits
- Non-owned auto
The best way for any insurance company to determine the liability risks at a property is through regular visits and updates. Ask your insurer if this service is included in the insurance product they sell. Keep in mind, if anything changes from the current coverage or application for insurance, it’s your responsibility to advise your insurer accordingly.
Article Written by Darcy Johnson
Erie Mutual Insurance Manager – Sales, Marketing & Business Development
Please contact us with any questions you may have about this or any other topic related to your insurance.