What is an insurance rider?
An insurance rider is an add-on to a homeowners, renters, or condo insurance policy. Also referred to as an endorsement, amendment, or “scheduling an item,” a rider means you’re adding a specific item(s) to your policy. Insurance riders typically cover, at an additional cost, an item that might not be already covered on your policy or is inadequately covered. This could include such items as an engagement ring, bicycle, or expensive piece of artwork.
How do insurance policy riders work?
Adding a rider often involves an appraisal or detailed description of the item(s) you want to cover. Coverage details and requirements vary by insurer. Adding, or "scheduling," items will raise the cost of your policy, but you'll likely only pay a little extra to in order cover an item of much greater value. In the event an item needs coverage, your insurance rider can provide expanded coverage on items or an item’s value that wouldn’t typically be covered under a policy without an insurance rider.
What are the benefits of adding an insurance rider?
Most home insurance policies contain sublimits, which are essentially limits within limits. Let's say you have a $100,000 limit in personal property coverage for your belongings, but your limit on jewelry is only $2,500. If you have a piece that's worth $10,000 and you don't add a rider for it, your insurance company won't cover $7,500 on a claim for that item.
Low or no deductibles
Your personal property coverage may have a high deductible. Policy riders, on the other hand, often have low deductibles or none at all. If you have a musical instrument worth $3,000 that gets stolen and your property deductible is $2,000, you'll only receive $1,000 on an insurance claim for that item. If you had a rider with a deductible of $50, your insurance payout would be $2,950.
Accidental loss coverage
Many basic insurance policies won't protect you against loss by "mysterious disappearance." That means if you accidentally lose your wedding ring at the gym, you may not be covered. However, with a rider, the ring may be covered even in this scenario.
You can save money by not purchasing a separate policy to insure your jewelry, art, or valuables. The cost of adding coverage is typically based on a percentage of the base homeowners insurance policy premium.
What is an insurance rider item that is commonly scheduled?
- Jewelry: Wedding and engagement rings, necklaces, watches, earrings, diamonds, and other precious stones are all items typically scheduled on a rider. You'll need to add a separate rider for each individual piece.
- Personal collections: From fine art to coins and stamps, regardless of their value, a rider safeguards your collections and memorabilia.
- Specialty items: These include bicycles, cameras and projection equipment, musical instruments, firearms, and other notable possessions. Some exclusions may apply.
How much does it cost to add a policy rider?
The price varies based on the item, appraised value, and the insurance company. In general, home insurance riders are affordable. Jewelry can typically be scheduled for about $1.50 to $2 per $100 in value (or 1.5% to 2%). If you own a piece valued at $5,000, expect to pay around $75 to $100 for the rider. Learn more about insuring jewelry and engagement rings.
Collectibles are typically less expensive to insure. For example, your insurance company might charge you 80 cents for every $100 in value (or 0.8%) to schedule a stamp collection. If your collection is worth $5,000, your rider will cost around $40. Learn more about how to insure artwork and collectibles.
How to add a rider to an insurance policy
First, you need to determine the item(s) you want to cover. Start by taking a home inventory of your valuables from time to time, even if you think your property is well covered. You may be surprised to find valuable belongings that are not covered or may have a sublimit, but could be covered with a policy rider. If you don’t know the value of an item you'll need to get it appraised. Once you know the value, you'll need to notify your insurance company and start the process of adding the item to your policy.
With Progressive Home, an affiliated Progressive carrier and part of our network of companies, certain items valued at $5,000 or more are an insurance rider example that may require an appraisal or bill of sale and a clear photo of the item. For items less than $5,000, you'll typically be asked to provide a detailed description of the item. Unaffiliated home insurance carriers in Progressive's network may have different requirements.
Add an insurance rider to your home policy
Current Progressive customers
Call 1-866-749-7436 and explain your valuable item(s) to a representative.
New Progressive customers
When you get a homeowners insurance quote, we'll ask about certain high-value items for an insurance rider policy. If you have other items we don't mention, let us know you want to insure them.