Optional Coverage

Common Endorsements

In addition to the basic coverages offered in the homeowners policies, you can buy other coverages by adding endorsements to your existing policy. An endorsement is a change added to an insurance policy which modifies the original terms. Some examples of the most common endorsements follows:

Guaranteed Replacement Cost Coverage

Guaranteed Replacement Cost coverage is the most complete coverage for your home. If your policy contains this endorsement and the Coverage A limit stated in your policy is not enough to cover the loss to your dwelling, the insurance company will pay the difference, subject to a specified maximum. Check with your insurance agent to determine if an additional premium is required and what exclusions or conditions may apply.

Inflation Guard Endorsement

This endorsement attempts to keep the dollar amount of coverage on your policy current with the replacement value of your dwelling because of inflation.

Even if you have this coverage on your policy, you should check your policy limits periodically to make sure you are adequately, but not excessively, insured. Check with your agent or company to see if your company offers this endorsement, if you are interested in purchasing it.

Personal Property Replacement Cost

This endorsement extends replacement cost coverage to your personal property, with certain exceptions listed in your policy.

Refrigerated Property Coverage

This endorsement covers property stored in refrigerators and freezers on the residence premises, to a maximum amount of $500. A special deductible applies to this coverage.  The insurer will pay only the amount that exceeds $100 of covered losses. Perils covered are interruption of electrical service and mechanical failure.

Scheduled Personal Property Endorsement

This endorsement is sometimes called a “personal article floater.” It covers possessions of high value that are more mobile than most household goods. Some examples are jewelry, furs, coins, guns and computers.

Water Backup and Sump Overflow

Losses from water backup and sump overflow are not covered under your homeowners insurance policy. This coverage is available through most insurance companies as an endorsement, but it may not be offered to you when purchasing homeowners insurance coverage if you do not ask for it. Ask your agent for more information on this coverage.

Watercraft Endorsement

This endorsement extends personal liability and medical payments coverage to others while operating certain watercraft. Physical damage coverage is also available through a separate endorsement. Consult your agent or insurance company to determine adequate coverage.