With busy lifestyles, it\u2019s often hard to find free time for ourselves. Sometimes, however, we need to purposefully schedule relaxing time in the day or the week to enjoy a favorite pastime. It could be playing your favorite sport, enjoying an outdoor activity, taking pictures, or making crafts.<\/p>\n
Some hobbies require an investment in equipment and supplies. That\u2019s why it\u2019s important to review your insurance policy to determine what coverage it provides for that equipment and those supplies. A standard homeowner, condo, or renter policy provides coverage for direct physical loss to property described in coverage C (personal contents) caused by specific listed perils. This means that if a particular type of loss isn\u2019t listed, there would be no coverage.<\/p>\n
If a cause of the loss isn\u2019t on the list of covered perils AND it\u2019s not specifically excluded, it may be a good idea to talk to your insurance agent to see if you can purchase additional coverage.<\/p>\n
There are also certain types of personal property that can be scheduled for an additional premium. Examples include jewelry, cameras, coins, guns, and sports equipment. When property is specifically scheduled, the homeowners deductible would not apply.<\/p>\n
What happens if your hobby becomes more than just a hobby? For example, you sell the crafts you make at craft fairs. How do you determine if your favorite hobby has become a business?<\/p>\n
West Bend\u2019s standard homeowners policy states:<\/p>\n
Business means: A trade, profession or occupation engaged in a full-time, part-time or occasional basis; or any other activity engaged in for money or other compensation, except the following:<\/p>\n
One or more activities\u2026 for which no “insured” receives more than $2,000 in total compensation\u00a0for the 12 months before the beginning of the coverage period.<\/p>\n
When your annual income exceeds $2,000, your standard homeowners policy would no longer provide coverage since your hobby would be considered a business activity.<\/p>\n