What’s Actually Covered? 10 Surprising Things Homeowners Insurance Can (or Can’t) Help With
You’ve got a homeowners insurance policy, and you sleep better at night knowing your biggest investment is protected. But how much do you really know about your coverage? What does homeowners insurance cover—and what does it leave out?
At Famous & Spang Insurance, we’ve seen it all: the unexpected wins, the disappointing surprises, and the calls that start with “I thought I was covered.” Whether you’re a first-time buyer or a long-time homeowner, it’s worth taking a closer look at the most frequently misunderstood parts of a homeowners insurance policy.
Let’s break down 10 real-life scenarios—some covered, some not—that might surprise you.
1. A Tree Falls… But Whose Insurance Pays?
If a healthy tree on your property falls during a storm and damages your home or fence, your homeowners insurance usually covers the repairs (minus your deductible).
Surprise: If the tree falls from your neighbor’s yard, your own insurance typically still pays—unless you can prove the neighbor was negligent.
2. Your Laptop Was Stolen… From a Hotel Room
Personal property coverage doesn’t just protect your belongings at home. If your computer or luggage is stolen while traveling, it’s likely covered under your policy.
Pro Tip: Keep receipts or records of valuable items to speed up the claims process.
3. Your Basement Flooded After Heavy Rain
This one trips up a lot of homeowners. Water damage from rising groundwater or surface flooding is not covered under standard homeowners insurance.
Solution: You’ll need a separate flood insurance policy to cover that kind of damage—even if you don’t live in a high-risk flood zone.
4. Someone Trips on Your Sidewalk
Your homeowners policy includes personal liability coverage. If a guest, delivery person, or neighbor slips and gets injured on your property, your insurance can help cover medical bills and legal fees if you’re found liable.
Not Covered: Injuries to people who live in your home aren’t covered under this part of the policy.
5. Power Outage Ruined All the Food in Your Fridge
Depending on your policy, you may be reimbursed for food spoilage if a covered peril causes a power outage (like a storm or lightning strike).
Ask Your Agent: Some policies include this automatically, others require an endorsement.
6. Your Diamond Ring Went Missing
High-value items like jewelry, artwork, or collectibles may have limited coverage under standard policies (often capped at $1,000–$2,500 per item).
Surprise: Theft is typically covered—but only up to those limits. You can schedule individual items for additional protection.
7. Your Dog Bit a Neighbor
If your dog bites someone—even off your property—your homeowners insurance may provide liability coverage for the injury.
Important: Some insurers exclude specific breeds or pets with a known history of aggression. Be sure your furry friend isn’t excluded.
8. You Rented Out Your Home on Airbnb for the Weekend
Most standard policies do not cover short-term rentals or business-related activities unless you’ve added special coverage or endorsements.
Before you rent: Call your agent. Otherwise, you might be left uncovered if something goes wrong.
9. Lightning Strike Destroys Your Electronics
A direct lightning strike or power surge that damages electronics is usually covered—though you’ll need to meet your deductible.
Bonus Tip: Ask about equipment breakdown coverage if you want broader protection for appliances, HVAC, and electronics.
10. Your Home Becomes Uninhabitable After a Fire
If a covered event like fire or storm damage makes your home unlivable, your policy likely includes loss of use coverage. This helps pay for temporary housing, meals, and other necessary expenses while repairs are underway.
Know Before You Need to Know
Many homeowners assume their policy is a blanket safety net—but the truth is, homeowners insurance has limitations, exclusions, and caveats. That’s why it’s essential to review your policy regularly and ask questions like:
- Are my coverage limits still enough to fully rebuild?
- Should I add riders or endorsements for valuable items?
- Do I need flood or earthquake insurance?
- What’s my deductible—and how much risk am I comfortable taking?
We’re Here to Take the Guesswork Out of Coverage
At Famous & Spang Insurance, we’re more than just your insurance provider—we’re your partner in protecting your home, your belongings, and your peace of mind. We’ll walk you through your current policy, help identify gaps, and offer solutions that fit your lifestyle and budget.
Let’s make sure you’re covered for life’s surprises—big and small.
Call us today at 410-272-2300
Visit famousspanginsurance.com to schedule a free homeowners policy review.
