Homeowner’s policies cover the “Dwelling” (the main home structure) and then separately provide coverage for “Other Structures” (those not attached to the main home) which can include: detached garages, guest homes, sheds, fences, pools/pool houses, driveways, and patios. The carriers typically default the “Other Structures” limit on every policy to 10% of the “Dwelling” amount automatically. It’s up to the agent to increase that limit, if appropriate.
We recently took on a new client that had a magnificent backyard with a newly-installed pool, including a pool house with bathrooms and a full kitchen. Also on the property was a wrought iron fence that enclosed the 3 acres of land, as well as a heated driveway leading up to the home. After reviewing their policy, we uncovered their “Other Structures” value was listed at only $100K—a fraction of the actual value. After we adjusted to the correct value of $500K, the premium only increased by $200, but they were now properly protected should a covered loss occur.
Let Brunswick Companies review your client’s policy to see how we can best protect the world they love and everything in it.