08/18/2026
5 things your homeowners insurance policy might not cover
Most people assume their policy covers "everything," until they file a claim and find out otherwise. Here's a few things worth checking on your own policy:
Flood damage:
This one surprises people the most. No standard homeowners policy covers flood damage, period. It doesn't matter how comprehensive your policy otherwise is. Flood coverage comes from a separate policy, and if you're anywhere near a river, creek, or low-lying area, it's worth pricing out even if you're not in a mapped flood zone.
Sewer or drain backup:
A backed-up sewer line or drain can cause serious water damage, but most policies treat this as an optional endorsement rather than something automatically included. It's usually inexpensive to add, and can save you from shelling out thousands of dollars later down the line.
Home business inventory:
If you run a business out of your home, like an Etsy shop, a consulting practice, anything with equipment or inventory... your homeowners policy typically covers your personal belongings, not your business assets. A laptop you also use personally might be covered; your product inventory almost certainly isn't. There are affordable endorsements built specifically for this.
Airbnb/VRBO:
If you rent your home out short-term, even occasionally, that activity usually isn't covered under a standard policy, and it can jeopardize your entire claim if something happens during a rental period, even something unrelated to the renter. There are specific endorsements (and standalone policies) built for hosts. Depending on whether you live in the home full and rent it out occasionally, or rent it full-time, coverage needs will vary.
Full replacement cost:
Some policies pay actual cash value, meaning your 10-year-old roof or furniture gets paid out at depreciated value, not what it costs to actually replace it today. Others pay full replacement cost. This is one of the most important things to confirm on your own policy, because the difference shows up exactly when you need the money most.
The silver lining: most of these gaps have simple, affordable fixes. You just have to know to ask about them.
Questions about your own policy? Call or text me at 620-591-3352
