What is the correct way to insure items (jewelry, artwork, firearms) that your property insurance might not cover in full?
As a homeowner or renter, you likely have homeowners or renters’ insurance to protect your personal belongings. However, there may be items in your possession that are of significant value that require additional coverage. That's where a personal article floater (PAF) comes in. In this blog post, we'll explore what a PAF is, why it's important, and how it can provide additional protection for your valuable belongings.
What is a Personal Article Floater?
A personal article floater (PAF) is a type of insurance policy that provides additional coverage for individual items that are of significant value. PAFs are designed to cover items that are not typically included in standard homeowners or renters insurance policies, such as jewelry, fine art, collectibles, and other high-value items.
Why is a Personal Article Floater Important?
Standard homeowners or renters insurance policies typically have limits on how much they will pay for personal property damage or loss. These limits may not be enough to cover the cost of high-value items, such as an engagement ring or a valuable painting. PAFs provide additional coverage for these items, ensuring that you are adequately protected against financial loss.
How Can a Personal Article Floater Provide Additional Protection?
A PAF can provide additional protection for your valuable belongings in several ways, including:
Higher Coverage Limits: PAFs typically offer higher coverage limits than standard homeowners or renters insurance policies. This means that you can insure high-value items for their full appraised value.
Broader Coverage: PAFs often provide broader coverage than standard insurance policies. For example, a PAF for jewelry may cover damage or loss caused by accidents, theft, or even if the item is lost or misplaced.
Customizable Coverage: PAFs are customizable, which means that you can choose the items you want to insure and the coverage limits that best fit your needs.
No Deductible: PAFs often have no deductible, which means that you won't have to pay anything out of pocket if you need to make a claim.
If you have valuable items that exceed the coverage limits of your homeowners or renters insurance policy, a personal article floater may be the right solution for you. A PAF provides additional coverage for high-value items, ensuring that you are adequately protected against financial loss. PAFs offer higher coverage limits, broader coverage, customizable coverage, and often have no deductible. Speak with an insurance professional to determine if a personal article floater is right for you and to get a quote for coverage.