From decluttering a home to increasing its value, there are numerous reasons homeowners decide to add sheds to their properties. When making these additions, homeowners need to consider whether their storage buildings will be covered by their insurance.
According to pocketsense.com and Investopedia.com, homeowners insurance policies usually cover storage buildings. This is because most policies cover all buildings on a homeowner’s property. Under this type of policy, standalone sheds, gazebos, and other standalone buildings will be covered, in addition to attached garages. Even though the vast majority of homeowners policies cover sheds, it’s a good idea to confirm this with the insurance provider before purchasing or building a structure.
Other Structures Protection
Many leading insurance providers offer what is known as “other structures protection” for sheds and other standalone features. Generally, this coverage is for 10 percent of the insurance amount on one’s home, according to Allstate. This means a shed on a $200,000 home would be insured for $20,000. When this is the case, homeowners may want to consider additional coverage if their shed or gazebo’s value exceeds 10 percent of their home’s value.
What Isn’t Covered
According to clark.com, there are a number of instances that aren’t covered by standard homeowner’s insurance. For example, mold damage coverage is generally limited, or even entirely excluded, in standard homeowner’s insurance. Other water-related damage, including sewer backup, sinkholes, and flooding, may not be covered by most insurance policies. For those who are concerned about this type of damage, they may need to take out additional insurance on their home or other structures.
Purchasing or Building a Garage or Shed
In addition to insurance, there are a few other considerations homeowners should make before getting a garage or shed. Homeowners should ascertain whether their locality requires a building permit for a storage building, which may be determined by municipality, county, or city business officials. Homeowners should also be sure to prepare a proper foundation for their structure, use quality materials, and find a trustworthy company with straightforward payment options to make the installation.
Sheds and other structures can add value to a home, in addition to increasing storage space and providing protection for belongings—as long as they’re properly insured! If you’re interested in purchasing a ready built shed or building a structure on your property, get in touch with Supershed by calling (731) 407-4373 today.