How High Net Worth Homeowners Insurance Provides Extra Coverage

High-net worth individuals who own expensive homes face unique challenges and tend to need extra insurance coverage. Wealthy families have relatively higher complicated risks, and many of these homeowners commonly insure against minor threats while under-insuring against major ones. This is where high net worth insurance comes in. A high net worth homeowners insurance policy helps to fill in the gaps between needs and the coverage provided by a standard homeowners policy.

Understanding the Difference

High net worth home insurance is an essential insurance policy for anybody fortunate enough to have assets and a lifestyle worth a little extra protection.

If the loss falls outside of standard coverage range, the typically policy is not activated and therefore there is no insurance protection in force. Cover under a high net worth home insurance policy works on an all risks basis to apply under all circumstances and the benefit of this is everything is insured.

More examples of what is typically excluded under a standard policy, but protected under a high net worth home insurance policy:

  • Carpets
  • Security
  • Pets
  • Clothes
  • Valuables outside the home

The Increased Risks

Many wealthy individuals have valuable personal property, a vacation home or household staff and those things are not favorable under standard policies. The fine print of a typical homeowners insurance policy often excludes or limits coverage of those amenities; where high net worth insurance homeowners does not. Common categories with a claim limit on a standard policy are jewelry, sporting equipment, musical instruments,  landscaping, which high net worth homeowners insurance can cover.

It can be easy to forget to insure expensive possessions, such as jewelry, wine collections, art, racehorses, yachts and old cars. Even if they are insured, it is crucial to know a possession’s actual market value.¬†Any hard-to-replace possessions must be accurately appraised and have an insurance solution that covers against the right risks.

High-net worth insurance policies can also protect against cleaning accidents or theft by any staff.

Vacation Homes

It is common for high net worth individuals to own their own vacation retreat. Tiny bungalows, condos and mansions are all considered to be at a higher risk if they are not a primary residence and, consequently, require extra coverage, which is where high net worth insurance steps in. There are specific policies that can apply to wealthy homeowners because of the nature of their properties.

About IFS Insurance

At IFS Insurance, we specialize in protecting homeowners and renters throughout Delaware, New Jersey, Pennsylvania, and Maryland. Our quality solutions and commitment to excellence has allowed us to serve these states for over 50 years. For more information about our products, we invite you to contact us today at (800) 598-0420