Does Homeowners Insurance Cover AC Units? Unraveling the Coverage Details
If you’re reading this post, you’re most likely wondering “Does homeowners insurance cover AC units?”. If so, you’re at the right place. In this post, we’ll go over the various aspects of what homeowners insurance covers when it comes to AC units. There are many intricacies which may be often overlooked when it comes to homeowners insurance and AC units, and we’re here to help clear things up. Should you need to reach out to us, you’ll want to contact us and we’ll be sure to help in any way we can.
Understanding Homeowners Insurance Coverage
Homeowners insurance policies are inherently designed to protect your home and belongings from various perils, such as fire, theft, and certain types of water damage. In general, these policies will include the following:
- Dwelling Coverage: Protects the structure of your home
- Personal Property Coverage: Protects the belongings within your home
- Liability Protection: Offers coverage for legal fees if someone is injured on your property
- Additional Living Expenses (ALE): Provides financial support and assistance if your home is uninhabitable due to covered damages
Are AC Units Covered by Homeowners Insurance?
The coverage for AC units under your homeowners insurance policy ultimately depends on the cause of damage and the specifics of your homeowners insurance policy:
- Damage from Covered Perils: If your AC unit happens to be damaged by a peril which is specifically covered within your homeowners insurance policy, such as fire or hail, homeowners insurance will be likely to cover the repair and replacement costs.
- Wear & Tear: Homeowners insurance will not cover damages due to simple wear and tear, or mechanical failure in most cases. AC units, like other home appliances and equipment, will often degrade over time, and it’s the homeowner’s responsibility to properly maintain said appliances and equipment.
- Additional Coverage Options: Some alternative insurance companies will offer equipment breakdown coverage as an add-on, which will cover the cost of repairing or fully replacing an AC unit due to electrical or mechanical failure.
Important Considerations
- Know Your Policy: It’s always important to understand your homeowners insurance policy, what it covers, and what it excludes. Regularly reviewing your homeowners insurance policy with your insurance agent will help to ensure you’re adequately covered should an incident occur.
- Maintenance Records: When you choose to keep detailed maintenance records, you’ll be thanking yourself when you need to file a claim related to your AC unit. Regular maintenance will likely extend the life of your AC unit and prevent common issues from arising.
- Deductibles: Being aware of your policy’s deductible, the amount you pay out of pocket prior to your insurance covering the rest of the associated costs, is beneficial information you should have readily available. A higher deductible may lower your premiums, yet it will likely increase your overall out-of-pocket costs during a claim.
Choose Portsmouth Atlantic Insurance for All of Your Homeowners Insurance Needs
Homeowners insurance does cover AC units in specific scenarios, most commonly when the damage to your AC unit is caused by covered perils. With this being said, it does not typically cover wear and tear or mechanical failures of your AC unit. You’ll want to consider additional coverage options such as equipment breakdown coverage. This extra coverage will likely be worth it to ensure your home remains cool and comfortable during the warmer months of the year. For further information or details on homeowners insurance policies, or if you’d like to request a quote for new coverage, contact us. We’ll do our best to provide you with the right level of coverage at the right price. We look forward to hearing from you soon!