Is your Digital Gear Covered?
By Marty O’Neill, Ferndale Insurance Agent
With the popularity of ipods, digital camera, and the iphone, coverage questions are coming into play in the insurance industry. On August 20, 2007 the Detroit Free Press published this guide to your digital equipment:
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You have car insurance and homeowner’s or renter’s insurance. But what about your digital gear? Your homeowner’s or rental policy offers some protection. But is it enough? Ask your insurance agent.
What events are covered? Ask if an item is covered if you lose it. Also, ask if you’re covered if something is stolen outside the home. If you travel overseas, check that your gear is still covered outside the country.
What kind of coverage are you getting? Some people don’t think about the type of coverage they’re getting. Your policy may provide actual cash value of items. Other policies offer replacement value. Replacement value is the better option. You’ll receive the amount you would pay to buy a comparable item new.
What are the limits and deductible? Your policy will cap the amount you can claim for personal belongings. For example, your limit may be $25,000 in the event of a disaster.
Are digital downloads protected? Don’t expect your insurer to cover your personal data. However, some insurers are beginning to take digital downloads into consideration. The movies and music you buy may be covered. But you should ask about these items specifically. Also ask what kind of proof you need of the purchases.
Can I buy extra coverage? There are companies that insure digital gear specifically. But don’t shell out for this if your gear is already covered.
By KIM KOMANDO, Gannett News Service
Being alert at all times while driving is your best defense against any type of accident.