Homeowners Plus 

The "Coverage A" amount you select for your policy is usually the limit of payment you would receive to rebuild your house after a total loss.* However, that limit can quickly become obsolete, especially in times of high inflation.

To help counter rising costs, Homeowners Plus takes potential inflation into account and includes an Additional Rebuilding Expense Coverage provision. 

This is how it works. For example, a house that cost $350,000 to build a few years ago and is insured for that amount is destroyed by a fire. Today’s steep inflation would likely drive up the rebuilding cost to $475,000.

The Additional Rebuilding Expense Coverage provision would extend the Coverage A amount to meet the $125,000 difference.

Standard homeowners insurance pays personal property claims based on the item’s age and condition – and usually only up to 50% of your policy’s Coverage A amount in total.

So even if a 15-year-old kitchen set you paid $1,500 for is in great shape, you’d likely only get a claim check for $1,050. And given inflation, it may cost a lot more than the $1,500 you originally paid to buy a new set.

Premier Choice provides much better coverage. It pays to replace your belongings with new items of like kind and quality – up to 75% of your policy’s coverage amount for your personal property (Coverage C) in total. So you’d be able to replace your kitchen set with a brand-new version.

Most homeowners policies don’t pay toward repair or cleanup expenses if water/sewer pipes back up into your home or when a sump pump fails and floods the basement. Homeowners Plus will pay up to $1,000.

“Coverage E” on a standard policy protects you only from claims/lawsuits related to physical injury or property damage. Homeowners Plus adds coverage for personal injury claims/lawsuits for accidental libel or slander.

Small “incidental” businesses (usually run from home) are very popular but can be hard to insure. Homeowners Plus will extend coverage to this type of business if its annual revenue is $2,000 or less.

Your data is your business’s lifeblood, so damage due to a covered cause of loss to your books of accounts, drawings, or other paper records and to your business computer and related equipment are covered up to $1,000.

Homeowners Plus covers your business property up to $2,500 while your items are on your residence premises and up to $1,500 when they’re off your residence premises.

If the keys to your home are lost or stolen, Homeowners Plus will pay up to $500 for expenses you incur to replace the related locks. No deductible applies to this coverage.

If a fire department outside of your residence’s area responds to a call to save your property or prevent damage to it, Homeowners Plus will pay up to $500 for any related service charges you may incur. No deductible applies to this coverage

Homeowners Plus will pay up to $500 toward food in a refrigerator or freezer that is damaged/spoiled due to a power failure or mechanical failure outside of your control. No deductible applies to this coverage.

Homeowners Plus increases the maximum amount of coverage from $200 to $500 for theft of money from your home.

Homeowners Plus increases the coverage amount to $2,500 (from a standard policy’s $500) and adds coverage for losses arising from bank cards, home banking, forgery, and counterfeit money.

Homeowners Plus doubles the standard coverage amount from $1,500 to $3,000 for loss by theft.

It also adds coverage for “mysterious disappearance,” such as if you take off a ring to wash your hands in a public restroom and accidentally leave it there.

Homeowners Plus doubles a basic policy’s coverage from $2,500 to $5,000 for loss of silverware, silver-plated ware, gold ware, gold-plated ware, pewter ware, platinum ware, and platinum-plated ware. This includes flatware, hollowware, tea sets, trays, and trophies made of or including silver, gold, or pewter.

It also adds coverage for “mysterious disappearance,” such as when a sterling silver serving spoon (which may have accidentally fallen into the garbage during a holiday cleanup) goes missing and is never seen again.

If you’re a DIYer, you may borrow the occasional power tool or other expensive item. What happens if you or someone in your household drops it and it’s damaged or destroyed? Homeowners Plus increases the standard coverage from $1,000 to $1,500 so that you can reimburse your friend or neighbor — and help keep your relationship intact.

* The policy’s co-insurance clause requires the dwelling to be insured for at least 80% of the cost it would take to rebuild your home at the time of the claim in order for Additional Replacement Cost Coverage to apply.

Product, service, program, credit, and discount availability and limits vary by state. The information provided on this site is provided for informational purposes only and is not a full explanation of products, services, or coverage. Coverage limits apply to covered causes of loss. Policy provisions, exclusions, conditions, and terms apply. For more information, please contact Electric Insurance Company at 800.342.5342. If there are discrepancies between the information on this site and the policy, the terms in the policy apply.

Electric Insurance Company Risk Coach™ professionals help you assess your current coverages and exposure to risk based on the information you provide during your discussion. The services provided are for informational purposes only and do not create a professional or fiduciary relationship. Incomplete information or a change in your circumstances after your meeting may affect coverage requirements or recommendations.