Have you ever wondered if you need a separate insurance policy for your shed or unattached garage? The answer is…maybe. Some homeowners will be just fine with their standard home insurance, but others won’t. How you use your shed, what you store in it, and the perils covered under your current policy will determine if you need additional coverage or not.
Here’s what you need to know.
What Standard Home Insurance Covers
Standard North Carolina home insurance policies cover “unattached adjacent structures” on your property. This typically includes sheds, unattached garages, pools, fences, and more. The structure is covered under your policy’s dwelling limit at a percentage of the total limit. In most cases, this is 10 percent. If your policy offers $300,000 in coverage for your home, any other structures would be covered up to $30,000. The contents of your shed or garage are included under your contents coverage. If you need more coverage than that, you can raise the limit on your policy.
The key to using your home insurance policy for your shed or garage is understanding what perils are covered. Only the perils available through your policy will be covered in a claim for a shed or other unattached structure. Lightning, theft, vandalism, fire, and other common perils will qualify. But if some other hazard, say bugs destroying valuable clothing, causes the problem, your claim won’t be approved.
Coverage for Your Shed
If you worry about destruction or damage from something not included in your homeowners policy, you can always purchase additional coverage. Flood and earthquake insurance may be available, as well as specific coverage for your outbuildings, especially if you use them as part of your business.
Whether you need additional coverage depends on what you store in your shed or outbuilding and how you use it. In some cases, the value of your shed and its contents may be higher than your homeowners policy limits. In this case, you’ll want to contact us to get a quote for a separate policy.
Don’t think your shed has enough insurance coverage? Know you have high-value items in your shed that need extra protection? Contact Charlotte Insurance today so we can discuss your unique needs and find the right coverage for you.