What Property Insurance Does — and Doesn’t — Cover
Property insurance provides essential protection, but it has limitations. Here’s a look at what property insurance does and does not cover — and what you can do to make sure you’re protected.
What Does Property Insurance Cover?
This type of policy has a wide range of coverage, from property protection to liability coverage for homeowners. Typically, you can customize the policy to your specific needs. Texas Farm Bureau Insurance’s homeowners plan includes:
Dwelling Insurance
This is coverage for damage to your home from perils, including fire, lightning, explosion, theft, and vandalism, among others. Other structures, such as a detached garage or a storage shed, are also covered, if listed on your policy.
Personal property insurance
This includes items inside your home, such as furniture or clothing. There are exclusions, though, which we’ll get to below.
Liability insurance
This kicks in should someone get hurt while at your home or on your property.
Loss of use
If your home is uninhabitable for some time because of a covered peril, this covers the extra cost of living elsewhere.
4 Things Property Insurance Does Not Cover
Property insurance has coverage limits. Here are some things property insurance doesn’t cover and potential solutions.
Expensive Jewelry
Typically, most people think about their more beloved pieces, such as an engagement ring. Most policies will pay a certain amount toward the cost of the item if it’s stolen or damaged by a covered peril, such as fire or a storm. But don’t expect full coverage.
Solution: Inland marine insurance
Family Heirlooms
The same goes for items that are sometimes passed down through families, such as artwork, furs, and antiques.
Solution: Inland marine insurance
Flood Damage
Homeowners insurance will cover damage to your home from hazards, including fire, wind, hail, or even vandalism. But when it comes to flooding, you’ll have to buy a separate policy
Solution: Flood insurance
Poor Maintenance & Neglect
Over time, wear and tear can get the best of your home, causing issues such as rotted boards, a worn roof, or cracked windows. But keep in mind that insurance companies will not pay for this type of damage.
Solution: A little TLC goes a long way. Regular home maintenance, such as cleaning gutters and draining the water heater, can help prevent costly repairs.
Additional Coverage Options
Inland marine insurance, or a personal articles policy, layers additional coverage on top of an existing policy. This type of policy helps protect valuable personal items that could be subject to property insurance coverage limits. Also, typically, an inland marine deductible is less expensive than your homeowners deductible.
Umbrella insurance can also be a helpful addition. Umbrella insurance extends your liability coverage if you reach the limit on the underlying liability coverage in an auto, renters, or homeowners policy — a wise investment in an increasingly litigious society.
Take Inventory With a 360 Review
If you’ve got more questions than answers about property insurance, it might be time to schedule a 360 Review with your Texas Farm Bureau Agent. This comprehensive, systematic look at all your insurance policies gives you a bird’s-eye view of your coverage — and any holes you might have. Prepare for your review by asking the right questions.
Learn more about the ins and outs of coverage with our property insurance guide.
Coverage and discounts are subject to qualifications and policy terms and may vary by situation. © 2025 Texas Farm Bureau Insurance
