What can you insure?
You might not insure your legs for $1 million like movie star Betty Grable did, but you likely have acquired some unusual items that may be valuable. Think jewelry, art, record collections, electronics, sports memorabilia, firearms and so on. All of these can be insured.
Know where to start.
Begin by reviewing your homeowners policy to see what it covers and what the coverage limits are. (They may be different for damage or theft.) This assessment will help you determine whether you need additional coverage and, if so, how much.
Inventory the things you want to insure.
You can create a list, take photos, shoot a video or even use an app to document your items. For objects of value, include receipts or appraisals to help establish their worth.
Get an appraisal.
Having jewelry, art or antiques appraised is a great way to see how much coverage you need. Your appraiser might suggest how often the item should be reappraised. Because a professional jewelry appraisal can cost $50 to $150 an hour, your first task is to decide whether the item is even worth the cost of appraisal.
Find the right coverage.
Talk to your insurance provider about your coverage. For example, do you want coverage for actual cash value or replacement cost value? Actual cash value includes depreciation, which might make the coverage more affordable but could result in a lower payout.
Also, consider an endorsement or a rider—an add-on policy that allows for an increased coverage limit. Your premium will be higher, but so will your payout after a covered loss.