Common holes in homeowner's policies - WALB.com, Albany News, Weather, Sports

Common holes in homeowner's policies

When's the last time you read through your homeowner's policy? Money Expert Nathan Bachrach says odds are, it isn't going to cover everything you think it will.

A new Met Life survey finds most Americans don't know the specifics of their coverage. 

Almost half couldn't name the amount of coverage they had for their home's contents. 

One in three didn't know how much the house itself was insured for. And, here are some common scenarios in which homeowners think they're covered, when they aren't:

First - and this one happens a lot - your sump pump fails, and your basement floods. 

Will your homeowner's policy reimburse you? Likely not, unless you've paid extra for sump pump failures. 

It's definitely worth checking with your agent on this one, if this has happened before.

How about if a fire were to destroy your home? Would insurance pay the full cost to rebuild and replace your belongings? 

Likely not - according to the folks at Met Life. Most insurance policies cap their coverage, and take depreciation into account when figuring out the value of your possessions. 

Now, you may find some pleasant surprises in your homeowners policy. For example: If your kids are college students and live on campus, their belongings are likely covered. Bachrach says it's definitely worth checking with your agent to get the full details on your policy.

Copyright 2013 America Now. All rights reserved.