What Is Off-Premise Coverage With Homeowner's Insurance

Most people are fully aware that their homeowner's insurance policies cover not only their homes but also the things they have in their homes. However, did you realize that your policy might also offer off-premise coverage? Off-premise coverage is commonly included with homeowner's insurance policies and is designed to cover things you own that are not inside your home.

Places where you might have additional things

Even though you probably have most of the stuff you own in your house or garage, you may also have things that are not located at your home. For example, do you have a storage unit you use for storing your things? If so, the contents of the unit are probably covered through your off-premise coverage. Secondly, do you have a child who is in college? If so, the things your child has at college are probably included in this coverage, too, including expensive textbooks and computers. If you loan something to a friend or family member, this item too would be covered if something happened to it. You should also consider if you bring things to your job, as these could be protected too through this type of coverage.

How much coverage it offers

While not every homeowner's insurance policy may offer off-premise coverage, most do; however, there is typically a limit on the amount of coverage it offers. Most insurance companies calculate this in terms of a percentage. For example, your policy might offer 10% coverage for off-premise protection, and this refers to 10% of the coverage amount you have for personal belongs. If you have $100,000 in coverage for personal possessions, your off-premise coverage would be $10,000 if your insurance company bases it on a 10% value.

Reasons to make sure you have off-premise coverage

Having off-premise coverage on your policy is just one additional way to protect yourself from loss. It typically does not cost much to add this form of coverage to a policy, yet it provides protection and peace of mind. If you own anything that you do not keep at your house, adding this type of coverage is a smart move to make.

If you are not sure if your homeowner's insurance policy offers off-premise coverage, you may want to contact your insurance agent to find out. Additionally, you can contact other insurance agencies for quotes or to learn more about additional types of coverages you may need.