Personal Property


Personal property is also referred to as contents insurance. Stolen personal items or destroyed items by perils, have coverage by insurance. Personal property coverage also includes items stored outside of the home.

It covers expensive items like jewelry and collectibles. However, if stolen there are dollar limits. For instance, Items count as personal property even if they have no attachment to the house. Although this excludes motor vehicles.
Personal property includes the following items:
  • Furniture
  • Clothing
  • Electronics
  • Appliances
  • Artwork
  • Decor
  • Dishes
  • Tools
  • Refrigerator and pantry contents
  • Sporting goods and toys

Actual Cash Value vs. Replacement Cost Value

Insurance companies will pay for personal property based on the coverage selected. Homeowners can select to have their property replaced. Between the actual cash value or the replacement value.

Actual cash value is the replacement value of the property minus depreciation. Standard homeowner policies pay you for the actual cash value (ACV) of your possessions if destroyed. For example, you may have paid $1,500 for a new dryer five years ago but today it’s value may be at $500 due to depreciation. With actual cash value, you would only get the $500 for the dryer from the insurance company.

Replacement value is the cost to replace the property with property of equal or comparable value. If you want to be fully insured, you’ll want to make your policy a replacement cost value (RCV) policy. Replacement cost value means you are getting the exact amount to replace the same object for current market price. If that TV was $3,000 then, you will get $3,000 to replace it. This may also cost more than the ACV version.

Premiums for replacement value policies tend to be higher. This is due to the settlement amount received from the insurance carrier is higher.

Do you need more information about homeowner’s insurance? Our agents and customer service representatives are here to help. Call us today at 1-888-949-6289 or visit your nearest Insurance Navy location. For your convenience, Insurance Navy’s open from 8 a.m. to 9 p.m. CST, 7 days a week.

*Please review your own policy for details on homeowners insurance. Homeowner’s insurance varies by insurance company and policy.