Insurance for your detached shop.

[midnight sun]

I was advised by the insurance adjuster (flooded shop) the other day of something I did not know.  I subsequently checked it out with my agent and she confirmed it.

Normally, on a regular home owners policy, if you have a detached shop/garage, the insurance company will only pay out a claim that is equal to 10% of the insured value of you house.  If your house is insured at $250,000 then the most the insurance company will pay on a claim on your shop is $25,000.  

Fortunately, when I built my shop I took out extra insurance over and above what the norm is.

Just thought some of you might like to know this so you can check on it with your agent.

The adjuster, contractor, and concrete company will be out tomorrow to see what we are going to do on my shop.

[Leon]

When I finished my shop my insurance agent came out and inspected the shop, took pictures, and documented stuff.  I also have coverage for the contents that equals the cost of the shop.  My shop is actually insured for more than the house.

[Ohio Blue Tip]

When I insured my new shop I added to the house insurance to cover it.  I also talked to my agent about tool and machine coverage and he said all my tools would be covered with replacement coverage IF I don't do any work for pay.

[UGLY OLDS]

I recently updated & "corrected" my house insurance & my detached garage/shop came up many times...My agent advised me that nothing else was available other than the standard "10% of the house value" for an "outbuilding" & the contents were covered under "personal property" .... Is there some thing here I missed??  ( I NEVER have trusted that guy.... )

[Harry]

I had my garage insured seperately from the house. It was insured for $75,000. And the contents were insured seperately.
Regarding the flood insurance in this case here, you are lucky to get paid off.
I heard of a case up here where there was a leak in the plumbing while the owners were away. Because they did not have someone checking on their house every 48 hours, they could not collect.
Read the fine print.