Personal Effects Insurance

What Does Personal Effects Insurance Mean?

Personal effects insurance is a policy that covers the loss or damage of valuables worn or carried by the policyholder. The policyholder can either specify each valuable in the policy or choose a claim limit that applies to all of them.

Insuranceopedia Explains Personal Effects Insurance

The portability of an item defines it as a personal effect, meaning that objects like a piano or vehicle are clearly excluded. Insurers may also exclude certain portable items, such as cell phones or laptops. The policy outlines what is covered to guide the insured.

To process a claim, the insurer typically requires documented proof of ownership.