Insurance for Expensive Bikes and Handbags

Theft and burglary are two of the most common types of claims that occur in the Boston area. It’s important to protect your belongings in case you become a victim of theft.

We own much more than we think- smart phones, computers/laptops, clothes, handbags, shoes, furniture…the list goes on. How can you protect the more expensive items such as bikes and handbags? These often cost hundreds if not thousands of dollars. I for one have a Cannondale road bike worth over $1000- so what if this gets stolen? Does my renter’s insurance protect me?

If you have basic homeowners, renters or condo unit owner’s insurance, your personal belongings are typically covered for incidents such as theft. On a typical homeowner’s policy, if an expensive item such as a bike or handbag is stolen, you’re subject to pay the deductible which is typically $500-$1000.  So, you should ask yourself if it’s worth placing a claim for a $1500 bike with a $500 deductible, therefore receiving $1000 for a replacement. It is ultimately your decision.

Some carriers such as Chubb and Chartis Insurance, allow you to add separate coverage onto your homeowners policy for items such as bikes and handbags. In this case, you pay more for the additional coverage, but the benefit is that you don’t have to pay the deductible should a loss occur.

It’s important to remember that when it comes to claims, you should only file them when you REALLY need to. Keep in mind that once a claim is filed, you will no longer receive the “claims free discount” that most carriers offer. Additionally, there is a chance that your insurance policy rates could increase.