The Hanover Insurance Group

Top home claims - and how to prevent them


According to the Insurance Information Institute, approximately one in 15 homeowners make an insurance claim each year. One pattern that emerges is that, the six most common types of home claims are also, on average, the six most costly types of home claims.

Fortunately, there are actionable steps you can take to help protect your home from damage, and insurance options that will help cover you if the unexpected happens. Below are the six most common claims, ranked by average cost, followed by tips on prevention, and protection The Hanover offers.




Type of claim Tips Insurance protection to consider

Fire and lightning

Average cost per claim:
$43,983
Rank: 1st

Average frequency of claim:
1 in 300 homes
Rank: 5th

Have a fire extinguisher on hand, especially in the kitchen, where almost half of home fires begin.

Check smoke alarms monthly. Set a recurring date or day, such as the first Sunday of each month.

In the event of lightning, unplug appliances, starting with computers and phones.

Guaranteed replacement cost coverage insures the full replacement cost to rebuild your home after a total loss with materials and craftsmanship of like kind and quality regardless of rising material and labor costs.

This infographic can help illustrate the importance of insuring to replacement cost.

Injury to others

Average cost per claim:
$22,100
Rank: 2nd

Average frequency of claim:
1 in 1000 homes
Rank: 6th

Keep walkways clear, whether it's snow on your sidewalk or toys in the hallway.

Beware of (your) dog. Nearly one-third of homeowners liability claims stem from dog bites.

Get rid of the trampoline. Few household items drive more home premium increases – or cause more injuries.

Umbrella coverage is insurance against defense costs, judgments and court costs relating to liability claims that take place on your property.

This umbrella coverage calculator can show you just how important – and how affordable – this protection can be.

Water damage

Average cost per claim:
$8,861
Rank: 3rd

Average frequency of claim:
1 in 45 homes
Rank: 2nd

Keep gutters clean, and use downspout extenders make sure they drain away from your home.

Raise appliances off the floor, including washers, driers, and other heavy electrical equipment.

Periodically run your sump pump and clean it each year before spring.

Water backup and sump pump overflow covers property losses and clean-up costs that result from water backing up through sewers or drains or sump overflows.

Watch this shortvideo to learn more about how this coverage works.

Wind and hail damage

Average cost per claim:
$8,313
Rank: 4th

Average frequency of claim:
1 in 35 homes
Rank: 1st

Anchor larger outdoor items, such as grills or patio furniture, to prevent them from becoming potentially damaging projectiles in a wind storm.

Check your roof for loose shingles frequently, and repair promptly.

Trim tree limbs to prevent overhang.

Waiver of deductible coverage applies only the highest deductible when a claim affects multiple properties, such as a home and a car, or two cars.

This short video can show you how this coverage can save you money if you have a claim.

Property damage not caused by any of the above

Average cost per claim:
$5,048
Rank: 5th

Average frequency of claim:
1 in 115 homes
Rank: 3rd

Make small home repairs promptly to prevent them from escalating into more costly and time-consuming claims.

Seal any entry holes that may have developed in your home. Damage from rodents and other critters is more common than you think.

Keep it clean. That includes furnaces, lint traps, chimney and other potential hazards.

Special personal property coverage protects you in incidents, such as misplaced jewelry or broken valuables, which are not typically covered in standard policies.

Watch this short video to learn more about this coverage.

Theft

Average cost per claim:
$3,990
Rank: 6th

Average frequency of claim:
1 in 250 homes
Rank: 4th

Strategic landscaping, such as placing thorny bushes near first floor windows, can deter entry.

Don't hide valuables in the master bedroom. It's the first place thieves check.

Keep your vacation plans to yourself. Posting your upcoming trip on social media may alert thieves when to attempt a break-in.

Special personal property coverage is also must-have insurance against theft (as well as disappearance and breakage) for items whose value exceeds the limits of a standard policy.

There's a lot to consider when insuring your home. That's why the best bet is to rely on the expertise of your local independent insurance agent. Together with The Hanover, they'll be able to craft the ideal combination of coverage, value and price.




LC 2018-098

All products are underwritten by The Hanover Insurance Company or one of its insurance company subsidiaries or affiliates ("The Hanover"). Coverage may not be available in all jurisdictions and is subject to the company underwriting guidelines and the issued policy. This material is provided for informational purposes only and does not provide any coverage or guarantee loss prevention. For more information about The Hanover, visit our website at www.hanover.com.

Source: Insurance Information Institute