Common Misunderstandings About Home Insurance

Many homeowners believe that their standard home insurance protects them from a number of risks that are not actually covered. The National Association of Insurance Commissioners (NAIC) did a study that revealed common misunderstandings among homeowners. Test your knowledge by answering true or false below.

True or False?

1. Cars, boats and motorcycles stolen from or damaged on your property are covered.
2. Damages from a break in the water line on your property that supplies water to your home are covered.
3. Damages due to a break in the sewer line on your property that connects to your municipal sewer system are not covered.
4. Damages from earthquakes are not covered.
5. Damages from mold are covered.
6. Flood damages are covered.
7. Damages from termites or other infestation are not covered.
8. Pets stolen from or injured on your property are covered.

1. False: 68% of homeowners think vehicles such as cars, boats and motorcycles stolen from or damaged on their property are covered, but they are not covered under the basic homeowner policy.
2. False: 51% of homeowners think damages from a break in the water line on their property supplying water to their home are covered, but they typically are not.
3. True: 37% of homeowners mistakenly believe that damages due to a break in the sewer line on their property that connects to their municipal sewer system are covered.
4. True: damages from earthquakes are not covered, but 35% of homeowners think they are.
5. False: damages from mold are not covered on the standard homeowner policy, but 34% of homeowners think they are. (Westfield does provide a limited amount coverage for mold damages. Ask your agent for details.)
6. False: 33% of homeowners incorrectly believe flood damages would be covered.
7. True: 31% think damages from termites or other infestation are covered, but they are not covered under a basic homeowner policy.
8. False: 22% of homeowners think pets stolen from or injured on their property are covered.

Talking to a Westfield independent agent is the best way to make sure you have the right home insurance.