Best Personal Property Insurance

Determining the best personal property insurance is one of the most difficult of all insurance categories. That’s because for the most part, personal property insurance is part of either homeowner’s or renter’s insurance policies. It’s the portion of those policies dedicated to providing coverage for the contents stored in your home.

Homeowner’s and renter’s policies have personal property insurance as a standard provision. But coverage for personal property is subject to specific dollar limits and almost always comes with deductibles.

But with most insurance companies, you can also add additional personal property insurance coverage. For an additional premium, you can add high-value items and those that are not covered under a standard homeowner’s or renter’s policy.

To help you with this often underestimated part of homeowner’s and renter’s insurance, we’ve analyzed nine companies to get to the bottom of exactly what they offer on the personal property insurance side. We then ranked the companies and designated which category each is best for. After all, there is no one best insurance company in any category, so it’s best to focus on the specific niche they fill that will best serve your needs.

Our Top Pick for Best Personal Property Insurance Provider: Lemonade

Lemonade is a true industry disruptor in the homeowner’s and renter’s insurance space–which includes personal property insurance. The company works using the peer-to-peer model, in which consumers make contributions that will be paid out to other participants for claims as needed. The company takes 20% of those contributions to cover administrative costs and any funds left over at the end of the fiscal year are donated to charity.

But what puts Lemonade at the top of our list is the combination of low cost and the ability to select the amount and type of coverage you want. Lemonade charges monthly premiums that are a fraction of those paid to traditional insurance companies. But starting with a very low base, you can add any provisions or specific coverages you want at an additional cost. This will enable you to have as much–or as little–insurance coverage as your budget can afford.

Our Runner Up Pick for Best Personal Property Insurance Provider: Amica

Amica is rated as the top company in customer satisfaction. This is a category that is not to be underestimated. Customer satisfaction includes consumer experience with the payment of claims. As the number one company in that category, Amica holds the promise of being most likely to pay claims and to pay them quickly with good customer service. That’s the whole purpose of having any type of insurance in the first place, which is why Amica placed so well on our list.

But beyond customer satisfaction, Amica is also one of the lowest-cost providers in many states across the country. And as a major provider of low-cost auto insurance, they also offer the opportunity for big discounts when you bundle an auto policy with homeowners or renters insurance.

Best Personal Property Insurance Providers

1. Lemonade

Best For: Low cost

Lemonade provides only homeowners and renters insurance, enabling them to specialize in the niche at a very low cost. They use a peer-to-peer model in which participants pay into the company, with claims paid out directly. If there are any funds remaining at the end of June of each year, they’re paid out to charities.

Lemonade premiums start as little as $5 per month for renters, and $10 for homeowners. From there, you can choose to increase your basic coverage levels to fit your own personal needs. In some states, policies are available with no deductible.

Lemonade refers to personal property as “extra coverage” and includes it under your homeowner’s insurance. The major disadvantage of Lemonade is that they are only available in 26 states.

J.D. Power 2020 U.S. Property Claims Satisfaction Study Rating: N/A

A.M. Best Rating: Not rated

Homeowners Insurance Provided: Yes

Renters Insurance Provided: Yes

Personal Property Covered: Jewelry, bikes, cameras, fine art, laptops, phones, tablets, TVs, and musical instruments. You can also add extra coverage for high-priced items.

Exclusions: Drones, sunglasses, expensive electronics, musical equipment and recording gear, and any items used for business.

Visit Lemonade or Read the Full Lemonade Review

2. Amica

Best For: Customer satisfaction

Amica takes top honors on our list for placing at the top of the J.D. Power 2020 U.S. Property Claims Satisfaction Study. That means plenty, since the survey covers customer experience with the payment of claims. Amica is first-rate in this all-important category.

The company provides all types of insurance policies, including homeowner’s, renter’s, condo, auto, life, flood, business and umbrella insurance. It’s consistently ranked as one of the top providers of auto insurance in most states in the country.

Personal property is a standard policy provision under homeowner’s and renter’s insurance policies. But you can add additional riders to cover identity fraud and home business coverage, as well as other high-value items.

Amica is also a mutual insurance company, which means you can earn dividends on your policy.

J.D. Power 2020 U.S. Property Claims Satisfaction Study Rating: 902 out of 1,000 (#1 among non-military providers)

A.M. Best Rating: A+

Homeowners Insurance Provided: Yes

Renters Insurance Provided: Yes

Personal Property Covered: Personal property up to 75% of the home’s insured value. Additional coverage on high-value items must be specifically scheduled in your policy, including furs, jewelry, fine art, and business property.

Exclusions: None listed

3. USAA

Best for: Current and former members of the U.S. military

USAA could very well take the top slot on our list of the best personal property insurance companies except for the fact that their coverage extends only to current and former members of the U.S. military and their families. It’s not available to the general public and for that reason, it didn’t finish in the top two spots.

But if you are a current or former member of the U.S. military, USAA is almost certainly your best choice. Not only do they provide personal property insurance through homeowner’s and renter’s policies, but they also offer outstanding auto insurance as well as other types of coverage.

The company has the overall highest rating for customer satisfaction and offers the lowest premiums available in many states, particularly if you bundle homeowners or renters with one of their excellent auto insurance policies.

As to personal property insurance, they offer one of the most extensive lists of policy inclusions of any company in the industry. However, if you want to cover a home business the coverage will be limited. In that case, you may need to consider adding an additional policy provision, or a separate policy entirely for your business.

J.D. Power 2020 U.S. Property Claims Satisfaction Study Rating: 904 out of 1,000 (#1 among all providers)

A.M. Best Rating: A++

Homeowners Insurance Provided: Yes

Renters Insurance Provided: Yes

Personal Property Covered: Collectibles, drones, electronics, mobile phones, tablets, readers, gaming systems, sporting goods, medical equipment, and designer clothes or accessories covered under standard homeowners or renters policies, but subject to specific dollar limits. VIP protection covers jewelry, guns, cameras, musical instruments, fine art, silverware, furs, stamps and coins, and comes with no deductible.

Exclusions: Animals, aircraft, property belonging to tenants and most motorized land vehicles.

4. Policygenius

Best For: Online property insurance marketplace

Policygenius isn’t a direct insurance provider, but rather an online insurance marketplace allowing you to shop among several carriers with a single application. In fact, Policygenius offers virtually every type of insurance, including life, auto, and business insurance.

The major advantage of the online insurance marketplace is that you can complete a single application and get quotes from several different providers. You can then select the one that offers the most comprehensive coverage for the lowest annual premium.

J.D. Power 2020 U.S. Property Claims Satisfaction Study Rating: Online insurance marketplaces are not rated by the agency

A.M. Best Rating: Online insurance marketplaces are not rated by the agency

Homeowners Insurance Provided: Yes

Renters Insurance Provided: Yes

Personal Property Covered: Varies by company

Exclusions: Varies by company

Visit Policygenius or Read the Full Review

5. Encompass

Best For: Policy discounts

Encompass isn’t one of the better-known insurance providers on this list, but it’s actually one of the largest personal property and casualty insurance companies in the country, and available through a network of more than 2,600 independent agents. The company traces its roots all way back to 1897 but didn’t officially take on the current name until the 1990s. They provide coverage in 39 states.

Encompass offers numerous discounts on the homeowner’s and renter’s insurance policies that include personal property insurance. There are discounts for claim-free (no claims within the past five years), dwelling 20 years old or less, renovations performed within the past 10 years, protective devices, and a home buyer discount if you purchased a home that is less than 49 years old sometime within the past five years.

J.D. Power 2020 U.S. Property Claims Satisfaction Study Rating: N/A

A.M. Best Rating: A+

Homeowners Insurance Provided: Yes

Renters Insurance Provided: Yes

Personal Property Covered: Standard homeowner’s and renter’s insurance personal property inclusions. Computer hardware, software and data; jewelry and fur are covered without the need for special riders or schedules. Also offers home business coverage extending to loss of business income and extra expenses and recovery of lost business records.

Exclusions: None listed

6. The Hanover

Best For: Blanket policies for multiple high-value items

The Hanover is another full-service insurance company that also provides personal property insurance coverage under standard homeowner’s and renter’s policies. You can add a scheduled item endorsement to cover individual high-value items. If you do, you’ll be covered for the full value of that item with no deductible. They advertise their scheduled item endorsements starting at $2 per month for each $1,000 of insured items.

But what we really find compelling with The Hanover is their VIP Blanket Policy. It includes several high-value items under a single policy provision and will pay up to $70,000 in total, including up to $10,000 per item. It’s an excellent way to simplify protecting multiple high-value personal property items under a single additional premium.

J.D. Power 2020 U.S. Property Claims Satisfaction Study Rating: N/A

A.M. Best Rating: A

Homeowners Insurance Provided: Yes

Renters Insurance Provided: Yes

Personal Property Covered: VIP Blanket Policy for up to $50,000 for jewelry, silverware, furs, and fine art, and up to $20,000 for musical instruments, cameras, computer equipment, firearms, china, and crystal, and golf equipment. All are covered up to $10,000 per item per occurrence with no deductible. Any other property, or property that exceeds these values, must be specifically scheduled in your policy.

Exclusions: None listed

7. Allstate

Best For: Providing for multiple insurance needs

Allstate is one of the largest and best-established insurance companies in America. They offer all types of policies, including life, auto, and business insurance. Personal property is covered through either homeowners or renters insurance policies.

Personal property provisions cover most belongings in your home, including furniture and electronics. They can be covered either through replacement cost coverage, which covers the actual cost of replacing the items brand-new, or actual cash value, in which case reimbursement is paid on depreciated value.

High-value items will be covered under scheduled personal property coverage, which is optional. This will allow you to set specific values consistent with the listed personal property.

J.D. Power 2020 U.S. Property Claims Satisfaction Study Rating: 882 out of 1,000 (#7)

A.M. Best Rating: A+

Homeowners Insurance Provided: Yes

Renters Insurance Provided: Yes

Personal Property Covered: General coverage for household contents, but special items and high-value items require specific scheduling (listing of individual items in value in the policy)

Exclusions: None listed

8. Nationwide

Best For: Full value replacement

Nationwide is another of the full-service insurance companies on this list, offering a full range of insurance products. Like the other providers, personal property comes under homeowners and renters policies. With standard provisions, personal property is covered up to a certain dollar amount and subject to a deductible.

Nationwide can provide full value replacement. When personal property is damaged or stolen you’ll receive the depreciated value of your covered items. But when you buy a replacement item or have it repaired, you can send the receipt to Nationwide and they’ll pay you the difference.

J.D. Power 2020 U.S. Property Claims Satisfaction Study Rating: 886 out of 1,000 (#5)

A.M. Best Rating: A+

Homeowners Insurance Provided: Yes

Renters Insurance Provided: Yes

Personal Property Covered: Most personal property is covered under standard homeowner’s and renter’s insurance provisions up to a certain dollar amount and subject to stated deductibles. Valuables Plus rider covers high-value items, like jewelry, watches, antiques, and fine art.

Exclusions: None listed

9. Liberty Mutual

Best For: Customizing your personal property insurance coverage

Like other insurance companies on this list, personal property is covered under homeowners and renters insurance policies. Personal property will be covered under standard policy provisions, but you can add scheduled items to include high-value possessions, such as jewelry, artwork, or special equipment.

J.D. Power 2020 U.S. Property Claims Satisfaction Study Rating: 877 out of 1,000 (#10)

A.M. Best Rating: A

Homeowners Insurance Provided: Yes

Renters Insurance Provided: Yes

Personal Property Covered: $1,000 standard amount for personal property, but specific listings and valuations are required for engagement rings and jewelry, antiques and fine rugs, artwork, collectibles and memorabilia, silverware, furs, and securities.

Exclusions: None listed

Visit Liberty Mutual or Read the Full Review

Our Criteria for Determining the Best Personal Property Insurance

Choosing the best type of product or service can always seem a bit arbitrary and even guided largely by personal preference. But to prevent either of those factors from influencing our choice of companies and subsequent rankings, we used the following criteria to come up with this list:

J.D. Power 2020 U.S. Property Claims Satisfaction Study Rating: Each year J.D. Power issues its U.S. Property Claims Satisfaction Study Rating, of which an important component is property insurance claim experiences by consumers. This is the virtual product provided by property insurance companies and a high rank indicates a more satisfactory claims experience.

A.M. Best Rating: A.M. Best is probably the most respected rating agency in the insurance industry. It rates each insurance company on the basis of its overall financial strength. That’s an important criterion because it provides insight as to the ability of the insurance company to a) remain in business, and b) have the financial strength to be able to pay claims.

Their ratings for companies with a financial strength of “Good” or better are as follows:

• Superior: A+, A++
• Excellent: A, A-
• Good: B, B+

Each of the companies we’ve included has a rating of “A” or better. The exceptions are Lemonade, which is too new to be rated, and Policygenius, which is an online insurance marketplace (not a direct insurance provider) and, as such, is not rated by the agency.

Homeowners Insurance Provided: Since personal property insurance nearly always occurs with homeowner’s insurance, we included only companies that provide this coverage.

Read more: The Best Homeowners Insurance Companies

Renters Insurance Provided: Same situation as with homeowners insurance.

Read More: The Best Renters Insurance Companies

Personal Property Covered: Specific kinds of property covered are what will be of greatest interest to consumers. For example, if you have high-value artwork or a home business, you’ll naturally gravitate toward companies that offer the best coverage for those possessions. The longer the list of personal property covered, the more favorably we ranked the company.

Exclusions: Most companies don’t list their specific exclusions, most likely because virtually any personal property can be covered at a high enough premium. However, where they’ve been listed, we’ve included them as criteria.

Comparison Shopping

Even with a list of great insurers to work with, it takes a lot of effort to get quotes from each insurer and to find the best deal.

Young Alfred can help you compare multiple insurance policies easily. Provide some basic information and the website will get you insurance quotes from multiple major providers. You can view the policies and their prices all on one page – this makes it super easy to compare.

Young Alfred can also help you decide the type of amount of insurance to purchase. For example, when shopping for home insurance, the site automatically analyzes your property to figure out what risks your property faces and to help you customize your policy based on those risks. That can help you avoid overpaying for things you don’t need or forgetting to purchase a crucial type of protection.

When You Should Consider Personal Property Insurance

Not everyone will require a special provision for personal property insurance. But there are two situations where it is strongly recommended, or even absolutely necessary:

1. You have personal property that exceeds the standard homeowner’s or renter’s contents coverage, which can be either individual items or the total value of all personal property.
2. You have special circumstances, such as a home business, that will require more precise coverage.

In the first case, you may be able to have high dollar value items scheduled (separately listed and valued) or set up under a specific personal property insurance policy if they can’t be accommodated by standard coverage.

In the second case, home business coverage, you may need a dedicated business insurance policy. A home business can be as simple as working on a laptop out of a spare room in your home. But if it’s more complicated, such as requiring specialized computer and communications equipment or data storage media, you may need more specialized coverage than can be provided by a standard homeowner’s or renter’s policy.

FAQs

Is personal property insurance a separate insurance policy?

It can be if you have particularly valuable property. An example might be a separate policy for a home business. The insurance company may set it up as a standalone policy if it has multiple insurable components. But most times personal property insurance will either be included as a standard part of a homeowner’s or renter’s policy or included as an additional policy provision as scheduled items. These are special, high-value items that require specific mention as well as details on their value.

Do deductibles apply to personal property insurance?

A deductible will be a regular part of a standard personal property provision within a homeowner’s or renter’s policy. But when you add a provision for high-value personal property, the deductible is often waived.

Can I add new high-value items to my personal property insurance after taking the original policy?

You should be able to add them as they are acquired. You’ll need to contact your insurance provider and have the items added to the policy. On certain items, they may also require you to supply documentation supporting the claim value of the property.

Is it possible to have ANY valuable item added to a personal property insurance provision or policy?

Most insurance companies do have specific limits on what they’ll accept. It may have to do with the type of property, such as very specific business property, or with the value of the item. For example, a company might cut off coverage for particularly high-value jewelry or artwork, at say $20,000. If you have an item that’s worth $50,000, you may need to get a completely separate policy, possibly even from another provider who specializes in especially high-value possessions.

Bottom Line

It’s unfortunate, but many consumers pay little or no attention to the personal property insurance provision of their homeowner’s or renter’s policies. This is in part because most people choose to go with the minimum required coverage by a mortgage lender or a landlord. For example, if the landlord has a written requirement for a minimum of $25,000 coverage for personal property, a tenant may choose a policy that meets that requirement and nothing more. The possibility that they may have $40,000 worth of personal possessions, including some particularly expensive items, is often ignored.

The situation may be even more acute with homeowners. Mortgage companies typically require minimum coverage based on the value of the property being purchased or refinanced. Coverage for contents is secondary, if it’s even considered at all. The homeowner may accept the policy with $50,000 of coverage for contents and assume all is well. But once again, if there’s $100,000 in personal property, including some particularly valuable items, the lack of adequate coverage may only become apparent following the destruction of the home or theft of the property.

Personal property insurance is one of those products where an ounce of prevention truly does equal a pound of cure. That’s because it’s impossible to be reimbursed for high-value personal property once disaster strikes. The time to prepare is beforehand.

Do a thorough inventory of the contents of your home, paying particular attention to any items that may be worth more than a couple of thousand dollars. Those are the kind of properties that will need the special consideration that personal property insurance is designed to address. It’s best to pay a little bit more on your premium and have those items covered than to go with the cheapest policy possible and hope nothing bad happens.