For many, insurance is something they look at when a lender requires them to, when a renewal notice arrives, or in the stressful aftermath of a loss. Insurance, which is discussed on this page, is meant to help protect you from financial losses you’d otherwise struggle to manage, and reviewing what you have in place before you need it may help you avoid unpleasant surprises. Here’s how.
Start with What Has Changed
Changes in your life, from where you live to your transportation situation to improvements to your home to who’s in your household to changes in where you work may mean changes to what you may need to protect. A new roof, a finished basement, a new shed in the backyard, or pricey new equipment may mean higher replacement costs that differ from what’s shown on last year’s declaration page.
Here’s a starting list of things to think through:
- Where you live (home)
- How you get around (cars, motorcycles, etc.)
- Who drives
- Savings
- Debt
- Income
- Costly personal belongings
- Pets
- Hobbies/equipment
- Business ventures
- People who may rely on your finances
Get Clear on Limits and Liability
Your policy limits are the most the insurance policy will pay in the event of a covered loss. Your deductible is what you agree to pay out of your own pocket before the policy applies to certain claims. Deductibles may be an opportunity to save on premium, but a higher deductible may cause issues if it would require a policyholder to borrow money to pay it after a loss. Being able to comfortably pay a $1,000 deductible with cash savings could be a reasonable goal, depending on each household’s situation.
Liability coverage can apply if you’re found legally responsible for causing an injury to a person or damage to their property. Liability could apply if a member of your household was involved in an accident or if a visitor is bitten by your dog or injured in your home. Reviewing your liability limits is more difficult.
A qualified professional, such as a Blue Ash insurance agency, can help review your driving habits, income/assets and future earning potential, the types of activities and number of people in your home, etc., all of which factor into how adequate your limits are in the event of a large claim.
It may not be top of mind, but make sure you have a readily available way of accessing policy numbers and claim information in case of an emergency. It’s easier to find that information while you aren’t stressed!
Check who the named insureds are on each of your policies. Check mailing and contact information, garaging addresses of vehicles, drivers in the home. If there have been any changes, it may be best to update this information, as a young adult who is away at school or a relative who will be living in your home may raise questions if your application no longer represents a true and accurate statement of the facts.
If you allow others to rent your home, leave your home vacant during a remodel or renovation, use your vehicles for a delivery business or have any sort of home-based business, disclose that information. Don’t assume it will be covered under a personal lines policy.
Make sure you understand who can make changes or speak about the policy. What happens when a policy is canceled, a payment is missed or how will policy information be sent? This can be helpful if household finances are managed by more than one person.
Look Closely at Property and Paperwork
Review your property coverage to make sure what you own and where you own it is protected. Many forms limit coverage for certain kinds of property, including business property, jewelry, tools, electronics/cameras, collectibles, musical equipment, etc., and may warrant further consideration. Find out whether your policy provides coverage on a replacement cost basis, which covers at https://www.ncdoi.gov/consumers/homeowners-insurance/actual-cash-value-vs-replacement-cost-value, (helps pay to replace an item with a new one that’s similar), or on an actual cash value basis (considers depreciation).

Go room by room in your home, take pictures or videos of your possessions and consider keeping receipts for larger purchases. Storing that information in a protected cloud drive or storage facility that is safe from disaster makes sense.
Some kinds of losses require further review to determine if you have coverage or should consider more. Homeowners policies, for example, vary in their approach to sewer backup coverage, identity theft costs, home sharing coverage and more. Auto policies, for example, don’t automatically provide coverage to drive someone else’s car. Flood insurance is typically a separate policy. Mechanical breakdown is usually excluded from homeowner’s coverage.
- An exclusion describes when your policy doesn’t apply or certain types of damage that wouldn’t be covered under your policy.
- An endorsement can add to, take away from, or change parts of a policy.
One question worth asking is how and when to report events that may be subject to insurance claims. Insurance policies generally ask you to report losses or events that could lead to claims as soon as possible. Waiting can jeopardize otherwise valid claims.
Grab your latest declaration pages, make a list of changes, questions, and unclear areas, and circle anything you don’t understand.
