Blanket insurance
Definition
Blanket insurance is a type of coverage that protects multiple assets under a single policy, rather than insuring each item individually. It’s commonly used for businesses, homeowners with multiple properties, or individuals who need broad coverage for personal belongings.
How Does Blanket Insurance Work?
Instead of assigning separate coverage limits to each asset, blanket insurance provides a total coverage amount that can be applied across multiple items or locations. This flexibility helps ensure you're adequately protected, even if one asset requires more coverage than anticipated.
Blanket Insurance vs. Scheduled Coverage
- Blanket Insurance covers multiple properties, items, or risks under one policy with a shared coverage limit.
- Scheduled Coverage assigns specific limits to each insured asset, meaning coverage is capped for each individual item.
Who Needs Blanket Insurance?
- Homeowners – If you own multiple properties, such as a primary home and a vacation home, blanket insurance can cover both under one policy.
- Businesses – Companies with multiple locations, warehouses, or fleets often use blanket policies for streamlined coverage.
- Collectors & High-Value Property Owners – Individuals with extensive collections (e.g., art, jewelry, or antiques) may prefer blanket coverage instead of itemizing each piece.
Benefits of Blanket Insurance
- Simplicity – One policy instead of managing multiple separate policies.
- Flexibility – Coverage can be applied where it’s needed most, rather than being locked into predetermined limits.
- Potential Cost Savings – In some cases, a blanket policy may be more affordable than multiple individual policies.
Is Blanket Insurance Right for You?
If you have multiple properties, valuable assets, or complex insurance needs, blanket insurance can provide comprehensive protection without the hassle of managing multiple policies. However, it’s important to ensure the total coverage limit is high enough to fully protect all included assets.
For guidance on whether blanket insurance fits your needs, talk to a VIU by HUB Advisor today.