Like most of your personal property, your mountain bike should be covered under the named perils section of your homeowners insurance policy for both on- and off-premises damage. In other words, if your bike is lost while you are on vacation or stolen from your home, it will most likely be covered under your homeowners policy.

One thing to keep in mind is that if something happens to your bike and you need to replace it, your policy deductible may exceed the actual value of your bike (e.g., your policy has a $500 deductible and your bike is valued at $400). Therefore, it might not always make sense to file a claim for your bike with your insurance carrier. You can always try lowering your deductible amount, but this usually increases the cost of your homeowners insurance coverage.

If you do file a claim for your bike, it's important to note that most homeowners insurance policies offer actual cash value coverage, which would reimburse you for the replacement value of your bike minus depreciation. This means that you could end up being reimbursed for less than what it would actually cost to replace your bike. To make sure that your bike is adequately covered, find out if your insurance carrier offers replacement cost coverage, which would reimburse you for the actual cost of your bike without taking depreciation into account.

If your homeowners policy does not provide adequate coverage for your mountain bike, consider purchasing a floater. A floater covers more perils, provides replacement cost coverage, and has no deductible. However, an insurance company will probably require you to have your bike appraised when you purchase a floater.

As you send your children off to college, you probably have a lot of things on your mind - whether they'll eat right and get enough sleep, how to pay the tuition bills, what to do with that empty bedroom, etc. For most people, insurance concerns are pretty low on the priority list. But there are some important issues you should consider.

Issue #1: Health insurance - make sure your child is covered.
Your medical plan probably covers your children until they're somewhere between 20 and 24 years of age, regardless of whether or not they live at home. But if the plan is an HMO and your child's college is far from home, accessing an approved provider may prove difficult. As an alternative, consider purchasing health insurance coverage through your child's college. Many colleges and universities offer low-cost health insurance for students. Cost and level of coverage vary greatly from one school to the next, but school-subsidized health insurance is often less expensive than continuing coverage through your existing health plan. And since health care is typically provided on-campus, it may be easier for the student to access.

Issue #2: Homeowner's/Renters insurance - make sure your child's possessions are covered.
If your child lives in a dorm or other university housing, their personal property is typically covered under your homeowners insurance policy. Check your policy for coverage limitations on computers and stereos, if your child can't live without these. Once a student moves out of the dorms and into an apartment, they are usually no longer covered under your policy. Off-campus students should purchase a renters insurance policy to cover their possessions.

Issue #3: Auto insurance - make sure the car is covered.
If your child will be taking a car to school, make sure the car is properly insured. If the child owns the car, then the insurance policy must be in the child's name as well. If the child is "borrowing" a car from Mom and Dad, the child must be listed on the insurance policy. Some insurance companies may require the child to be listed as the primary operator, since the car is in the child's possession and not the parents'.

Depending on the circumstances, you may not even have to file a claim with your own insurer. Your neighbor's insurance may cover the damage to his or her unit. Or, the damage may be covered under a "master" insurance policy (owned by your condo association) that includes all of the individual condo units in the complex. But if these other insurance companies insist that you were negligent and should be held liable for the damage, you may need to turn to your own insurance.

As a condo owner, your homeowners insurance should protect you against property damage and liability (up to the limits of your policy) when someone is injured on your premises, or when you cause damage to someone else's property. So it's very likely that your insurance would cover at least a portion, if not all, of the other condo owner's loss (unless you deliberately caused your tub to overflow).

Before paying the claim, your insurance company may wait to see if the other condo owner receives any compensation from the master policy. In most cases, if the master policy covers a portion, or none, of the other condo owner's loss, your own insurance will pay the difference (again, up to your policy limits). If the master policy covers the full loss, your insurer may not have to pay anything.

Yes, you should consider purchasing an owners title insurance policy when you buy a condominium. For a one-time premium, an owners policy will provide you with protection against defects in your title for as long as you own the property.

Title insurance offers protection against many defects in "title" (proof of your interest in the property). Potential risks to your title include:

• Forgery or impersonation by a previous seller
• Mistakes in the recording of title documents
• Liens for unpaid taxes

Title insurance policies are issued as both "owners" and "lenders" policies. A lenders policy is almost universally required as a condition of getting a mortgage loan. A lenders policy covers only the lender's interest in the property for the length of the loan, while an owners policy protects your interest as owner.

Title problems could result in a significant financial loss. You could be forced to hire a lawyer to defend your interest in the property. Ultimately, you could lose the use of the property and your equity in it, and still be required to pay the balance of the note! If an owners policy is purchased, the insurance company would be required to defend your rights to the property in court and pay for your title-related losses under the terms of the policy.
Title policies are most frequently issued as standardized forms approved by the American Land Title Association (ALTA). A standard ALTA "condominium endorsement" would typically be issued with the purchase of title insurance on a condominium.

The condominium endorsement covers title issues unique to condominiums, such as defects in documentation that invalidate a property's status as a condominium, and unpaid fees and assessments on the unit being purchased.

In most cases, your insurance will be the one to cover the damage. Although the tree fell from your neighbor's property, the damage affected your property. Your homeowners insurance covers damage to your property, so you should make a claim under your policy. Your policy probably also provides coverage to remove the debris from your property (typically up to $500).

There are a few exceptions to this general rule, however. For example, say you notice that your neighbor's tree has a large, dead branch hanging precariously over your property. You notify your neighbor in writing of this hazard and ask him to address the problem, but he chooses to ignore it. Two weeks later, the branch comes crashing down and destroys your fence. In this case, you may have some recourse against your neighbor's insurer, because your neighbor had notice of a potential hazard and did nothing to improve the situation. Make sure you keep records of all correspondence and actions regarding the situation. You'll have something to back up your story if you have to contact your neighbor's insurer.

Complications may also arise depending on what actually caused the tree to fall. If the tree fell in a windstorm, or if it was struck by lightning, there is little question that the damage will be covered. However, certain perils such as floods and earthquakes are not covered under standard homeowners policies. If the tree fell as a result of such an event, the damage may not be covered at all. To find out for sure, you'll have to contact your insurer.

Your diamond ring is probably covered to some extent for loss due to theft under your homeowners/renters insurance policy. However, check your policy. Most homeowners/renters insurance policies have limits for certain types of personal property--including jewelry.

If the value of your ring exceeds your homeowners/renters insurance policy coverage limits, you have a couple of options. First, you can purchase a floater, which will provide you with a specific amount of coverage for your ring based on its appraised value. Or, you can purchase a stand-alone policy that is specially designed to protect valuable items. Keep in mind, however, that your insurance company will most likely require you to have your ring appraised by a certified jeweler when you purchase either a floater or a stand-alone policy

Your hunting rifles are deemed personal property under your homeowners insurance policy. If they are damaged, lost, or stolen, your homeowners insurer should cover losses in excess of any deductibles, up to the standard limit for firearms (usually $2,500). The same is true whether you own one gun or many.

Gun ownership does not affect your eligibility for homeowners insurance or your premiums. However, if you collect guns, or if you own firearms worth more than the standard limit, you may want to purchase a gun floater for your homeowners policy.

Most homeowners insurance policies also cover damages caused by the accidental use of firearms. In some instances, however, coverage may be excluded if the firearm is taken off the premises. If you're uncertain about your coverage, contact your agent to check on your policy provisions. If you want more protection than what your homeowners policy offers, you may want to purchase sporting firearm coverage, collector's firearm insurance, or gun club liability insurance. Check with your insurance agent or gun owner's association for information and referrals.

You should consider purchasing flood insurance even if you don't live in a high-risk area for floods. Factors such as storms, inadequate drainage, melting snow, and hurricanes can cause serious flooding even if you don't live near a river or other body of water. If you are purchasing a home in a designated flood zone, you may be required to purchase flood insurance before obtaining a mortgage.

Despite what you may think, your homeowners insurance policy doesn't cover damage from flooding. To complicate matters further, you can't simply buy flood insurance as an endorsement to your current policy. Instead, if you are eligible, you must purchase a separate flood insurance policy through an insurance company that participates in the National Flood Insurance Program (NFIP). Flood insurance is available for residents of approximately 19,000 communities nationwide.

A flood insurance policy offers flood protection for both your home and its contents. You can purchase up to $250,000 worth of coverage for the building itself, and up to $100,000 worth of coverage for the contents. However, a flood insurance policy is not a catch-all. For example, flood insurance offers some degree of protection for flood-related basement damage, but it doesn't cover all types of damage. Flood insurance does not cover events such as sewer backups unless they are directly related to a flood.

The average flood insurance policy costs around $300 per year. However, if you live in a lower risk area, you can typically reduce the cost by purchasing a lesser amount of coverage.

The standard HO-8 homeowners insurance policy is designed to cover older homes that have historic value. This policy covers the cost of standard repairs, but it does not provide replacement cost coverage.

If your home is truly historic and you want to insure it as completely as possible, you may want to seek out an insurance company that specializes in insurance for historic homes. Such an insurer can write a policy tailored exactly to your needs, with higher coverage limits than a standard homeowners policy and replacement cost coverage. Individualized insurance of this type will cost you more, but it can provide you with the peace of mind that standard policies can't offer.

Insurers specializing in historic homes generally have consultants who will visit your home and identify one-of-a-kind features. They can advise you on which specific aspects of your home's architecture and design should be protected. Should you have to make a claim, these insurance companies will be able to help you in ways an ordinary insurer generally can't. They often have contacts who deal in historic restoration, supplies, and repair.

If your home is in a historic district, you may be required to make repairs that maintain the historic integrity of the home. For example, if your home has a slate roof, you may be required to use slate for any roof repairs. You may even be required to use slate from the same region as the original. Not only would a historic home policy pay to have the roof replaced, but the insurer may even be able to help you find the slate required and a contractor qualified to install it.

In addition to the specialized coverage, historic home insurance offers many of the same features as a standard homeowners insurance policy. Policies generally include personal liability and additional living expenses coverage, which pays for living expenses if your home is uninhabitable at the time repairs are being made.

Personal property, art, and jewelry are also generally included, often with higher limits than standard homeowners insurance.

You should consider home insurance for your new home during construction. If you don't, you may be exposing yourself to a great deal of risk if a fire, theft, or other event damages or destroys your partially-completed home.

One way to cover your new home during construction is by purchasing a standard homeowners insurance policy. This will cover you for any damage to the building as it's being built, and may also provide some coverage for theft of building supplies (although the contractor's insurance should also cover this). It also provides liability coverage, which may come in handy if one of your friends trips during a "tour" of your dream house and decides to sue you. However, the policy will not cover your personal property until the building is secure or "lockable." Once construction reaches this point, you can add on homeowners insurance coverage for your personal property.

Another option is to purchase a "dwelling and fire" policy. This type of policy covers damage to the physical structure, but provides no theft coverage. A dwelling and fire policy may be an appropriate choice if you are living in your old house during construction, because the homeowners policy on that house would cover theft of items from the construction site. Dwelling and fire policies also provide liability coverage, just like a standard homeowners policy.

Once the building is complete, you should re-evaluate your coverage. If you opted for dwelling and fire coverage, you may need to purchase a full homeowners policy. If you bought standard homeowners insurance, make sure you have purchased the right amount of insurance, especially if you have made alterations to the original building plans (e.g., adding on a room or upgrading building supplies).

Homeowners insurance does provide coverage for personal property, but this coverage is limited. Under a standard homeowners policy, the coverage for all your personal property is limited to 50 percent of the coverage amount on your home.

Homeowners policies also set specific dollar limits for particular categories of personal property. For some categories (such as jewelry, firearms, and furs), the policy specifies a coverage limit for theft, but not for damage or destruction. The reason is that these items are especially susceptible to theft, and insurance companies want to limit their exposure to these fairly common incidents. Damage or destruction of these items is less common, and insurance companies are willing to cover them up to their actual cash value.

Some standard coverage limits for particular categories of personal property are as follows:

• $200 for money, bank notes, bullion, gold, silver, coins, and metals
• $1,000 for securities, accounts, deeds, letters of credit, notes other than bank notes, manuscripts, personal records, passports, tickets, and some other related items
• $1,000 for the theft of jewelry, furs, watches, and precious and semi-precious stones
• $2,000 for the theft of firearms
• $2,500 for the theft of silverware, silver-plated ware, goldware, gold-plated ware, and pewterware
• $2,500 for property at the residence used for business purposes
• $250 for property used away from the residence for business purposes

Note that there is not a standard coverage limit for artwork (although your policy may vary). It usually would be included with all your other personal property, and the cumulative coverage would be limited to a maximum of 50 percent of the dwelling coverage amount. Keep in mind, however, that it could be difficult to convince your insurer of the value of your art collection without a professional appraisal.

You have the option of increasing your personal property coverage by purchasing either an endorsement or a floater. You may need an increased jewelry limit, for instance, for covering engagement or wedding rings. Or you might wish to purchase separate coverage for your art collection, because its value is far more than 50 percent of your dwelling.

In order to buy additional personal property coverage, you must be able to verify the cost and condition of the item. Photos or a video can be used to inventory your property; however, you should be sure to keep the inventory away from the premises (i.e., in a safe deposit box).

Professional appraisals are needed for certain items, such as jewelry, antiques, art, and camera equipment (beyond a basic camera).

If you own a manufactured home or are thinking of buying one, you'll be happy to know that manufactured-home safety has improved dramatically since the days when cars pulled homes from one place to another. As more and more people began using manufactured homes as permanent residences, Congress saw the need to regulate their design and construction to improve overall quality and reduce personal injuries, deaths, and property damage.

In 1974, Congress passed legislation that authorized the Department of Housing and Urban Development to enact national manufactured-home safety standards. Any manufactured home built after June 15, 1976, must conform to the National Manufactured Home Construction and Safety Standards, also known as the HUD (Housing and Urban Development) Code. According to these standards, homes must be built using fire-resistant materials, must be able to withstand certain wind speeds, and must satisfy various other safety standards.

Unfortunately, despite efforts to improve their safety record, manufactured homes are still generally considered less safe than conventional homes by insurers. Because manufactured homes are much more vulnerable to wind damage, many states and insurers require that manufactured homes be erected on a permanent foundation or secured to the ground with anchors and tie-downs to help prevent the home from slipping off its footings or tipping over during a tornado or other severe storm. Manufactured homes are also more likely to suffer extensive damage when a fire breaks out.

To adequately protect yourself when you own a manufactured home, purchase a homeowners or manufactured homeowners policy that covers both property damage and liability losses. If you are financing your home, your lender may require it. Consider purchasing a policy through a reputable company that specializes in manufactured-home insurance. These insurers may be more familiar with the special hazards associated with owning a manufactured home.

Many people don't realize it, but homeowners insurance covers a lot more than just your house. A standard homeowners insurance policy provides broad protection for personal property and other structures located in and around your home.

Several different types of coverage are included in every standard homeowners insurance policy. HO-1, HO-2, and HO-3 are the three standard policy types available for most homes. Coverage A is strictly for the physical structure of your home, including additions permanently attached to the structure (such as an attached garage).
Coverage B insures other structures on the premises, including detached garages, fences, swimming pools, driveways, and sidewalks. The limit on this coverage is typically 10 percent of the Coverage A amount.

Coverage C insures your personal property, including all of your household possessions and other items such as awnings, outdoor antennas, and carpeting. The limit on Coverage C protection is typically 50 percent of the Coverage A amount. Additionally, all standard homeowners policies include various "additional coverages" for items such as debris removal, trees, and shrubs. Each of these coverages has its own dollar limit.
While homeowners insurance coverage is very broad, there are certain items which are not covered. For example, motorized vehicles (e.g., cars, motorcycles, go carts, golf carts, and snowmobiles) are not covered by your homeowners insurance. Animals, birds, and fish are not protected under homeowners insurance, either.

Keep in mind, too, that your homeowners insurance policy only covers the above-listed property if it is damaged or destroyed by an insured peril. Personal property is only protected against the perils listed in your policy, while your dwelling may be insured against named perils (HO-1 and HO-2) or open perils (HO-3).

Absolutely! As you might have guessed, rental property owners have some unique insurance needs. A standard homeowners policy isn't appropriate for rental property, because:

• You don't need to insure the contents of the house, unless you provide furnished accommodations;
• You need to be more concerned about liability issues; and
• You need to protect yourself against the loss of rental income. Your tenants may purchase renters insurance, but even if they do, it won't provide any coverage for you as the owner of the property.

Fortunately, there's a policy designed especially to meet the needs of rental property owners. Most insurers who deal in commercial insurance can sell you a policy specifically for rental property. However, there are many variations among rental property policies. Some provide replacement cost coverage, while others only insure property on an actual cash value basis. Some policies only provide coverage for one or two named perils (such as fire), while others provide much broader coverage.
Because of these variations, you may have to shop around to find a policy that provides complete coverage. A good rental property policy should provide the following:

• Broad coverage for the physical structure of the house, on a named-peril or open-peril basis
• Coverage for other structures located on the property (garages, sheds, etc.)--this coverage is often limited to 10 percent of the coverage for the house
• Coverage for your property left on the premises (appliances, maintenance equipment, etc.)
• Coverage for loss of use, if you lose rental income as a result of a covered peril
• Liability coverage for injuries or property damage that occur on the insured property
• Medical payments coverage, for medical expenses that arise from injuries to others on the insured property

This is an increasingly common question among young singles and other unmarried individuals who choose to share a house or apartment. Unfortunately, renters insurance and other homeowners insurance policies are designed for single individuals and traditional families. So when unrelated individuals share a residence, insurance coverage can become complicated.

Insurance laws on this topic vary from state to state, and homeowners and renters insurance policies vary from one company to the next. However, most insurance companies recommend that each tenant maintain a separate renters insurance policy to cover his or her personal property. You should each create an inventory of your possessions, so there are no questions about which policy covers which items if you ever have to file a claim.

Some insurance companies allow multiple roommates to be listed on a single renters insurance policy. If your insurance company allows this, you and your roommates can purchase one renters insurance policy to cover all of your collective possessions. Each person's name should be listed on the policy, and you should make sure you purchase enough insurance to cover everyone's property. You'll have to remember to change your policy, however, if a roommate moves out or if a new roommate moves in.

Things become even more complicated in the case of unmarried couples living together. Some renters insurance policies automatically extend coverage to any resident of the policyholder's household who fits the definition of "domestic partner." But these policies are the exception, not the rule. In most cases, each partner will need to have a separate renters insurance policy to cover their personal property. But this is not a perfect solution, because even unmarried couples often have joint property. The best option in this case may be to keep detailed records of who actually purchased what, allowing you to make an accurate claim if the need arises.

Check your renters insurance policy or contact your insurance company to make sure you know what's covered.

Most, if not all, insurers will give you a discount on your homeowners policy premium if you install a home security system. The performance and sophistication of the typical home security system varies dramatically depending on what you buy and how much you spend.

Similarly, the premium discounts will vary too. Usually, insurers will give you a 5 percent discount merely for installing dead-bolt locks. A simple burglar alarm is likely to get you yet another 5 percent. If you decide to go with a more sophisticated home security system, complete with monitoring services, then you can expect a discount of up to 20 percent.

In addition to discounts for security devices, you can also get discounts for installing safety devices such as smoke detectors or sprinkler systems. Check with your insurance agent to make sure you are currently receiving any discounts you qualify for, and to see if you can save any more on premiums by installing additional security equipment.

Your state has some form of regulation that defines what is acceptable conduct in the insurance industry. Many states have enacted an "Unfair Insurance Practices Act" or an "Unfair Claims Settlement Practices Act". Or, the regulations may be found in a broader law that encompasses all trade practices.

The specifics of these regulations vary widely from state to state, but, generally speaking, an insurer is required to:

• acknowledge your claim within a certain time frame, such as 15 days,
• investigate your claim promptly,
• make a good faith attempt to process a prompt, fair, and equitable settlement of claims in which liability is reasonably clear.

Additionally, an insurer may not refuse to pay your claim without a valid reason.

If you feel that your insurance company's agent or claims adjuster has violated your state's regulations, talk to that person's supervisor. If you get no satisfaction, file a complaint with your state's insurance department. If the department receives enough similar complaints, it will conduct an investigation. If it finds that the insurance company has a pattern of misconduct, it may impose a fine, punitive damages, or, for especially grievous offenses, revoke the company's license.

A minority of states allow you to sue an insurance company privately for a regulations violation against you individually. If you find yourself in such a dispute, some legal rules may help you, such as:

• coverage provisions will be construed broadly,
• limitation and exclusion provisions will be construed narrowly, and
• ambiguities in the policy will be interpreted in your favor.

In some states, if you are successful in court, you may only recover the amount of your claim. But, in other states, you may also be awarded legal fees and punitive damages.

Here are a few tips that may be useful for dealing with an insurer about a claim.

Before you buy the policy:

• Take notes while the agent is explaining the proposed coverages, and save them for future reference
• Read the proposed policy and understand the key terms, such as deductibles, exclusions, and limitations
• Complete the application form honestly and thoroughly

Before you have a claim:

• Read your actual policy to understand coverages

When you have a claim:

• Review your policy and notes
• Promptly notify the insurance company of the loss
• Do not exaggerate the claim
• Keep a log of all correspondence with the insurance company (especially telephone calls)
• Gather materials to prove your claim (e.g. receipts)
• Always keep copies of any documents you give to the insurance company
• Get your own estimate of the loss
• Do not submit to an "examination under oath" without legal representation
• Do not sign a check or release until you are satisfied it is fair

Even if the creek in your backyard were to dry up tomorrow, you should seriously consider purchasing flood insurance. According to the Federal Emergency Management Agency (FEMA), approximately 25 percent of all flood insurance claims come from areas that are at low to moderate risk for floods. Flooding doesn't happen only along the banks of rivers, creeks, or other bodies of water. It can also occur in low-lying areas or can result from heavy rains, melting snow, inadequate drainage, and hurricanes.

If you're obtaining a federally backed mortgage, your lender will require you to purchase flood insurance if your home is located in a flood zone. To find out if this is the case, your lender will order a flood hazard search that will access FEMA flood zone maps. If your home is found to be in a minimal risk area, you won't be required to purchase flood insurance. However, you will still have the option to purchase it (often at preferred risk rates) if your community participates in the National Flood Insurance Program (NFIP).

You can't purchase flood insurance as an endorsement to your homeowners policy. Instead, you must purchase a separate flood insurance policy through a company that participates in the NFIP. But many companies that issue homeowners policies also issue flood insurance policies, so start by calling your own insurance agent or company.

If your company doesn't write flood insurance policies, call the National Flood Insurance Program at 1-800-638-6620 to get a list of insurers that do. And don't delay. Once you've applied and paid your premium, a 30-day waiting period generally applies before the policy is effective (unless the initial policy is issued in connection with a loan or because a flood map has been revised).

Homeowners insurance does provide coverage for damage to trees, shrubs, plants, and landscaping. However, the amount of coverage can vary significantly from one policy to another.

Standard homeowners insurance policies often have a per-item limit as well as a per-incident limit. A basic policy may cover $250 per item with a maximum of $1,000 per incident. More generous policies may provide coverage of $500 or more per item, with a limit of up to 5 percent of the house's insured value.

Some insurers also offer a landscaping endorsement, which is added to the standard policy to increase the coverage limits. Of course, your premium will increase as you add extra coverage.

Landscaping coverage typically includes plants, shrubs, trees, and lawns. Mulch and supplies are generally not covered. Under a standard homeowners policy, your landscaping is protected from the following perils: fire, lightning, explosion, riot or civil disturbance, vandalism, criminal mischief, theft, and loss caused by motor vehicles or aircraft not owned or operated by the property owner.
Insect or pest infestation, wind damage, and other weather damage are typically excluded from coverage. Some endorsements may broaden the scope of coverage for landscaping.

Many homeowners policies provide a certain amount of coverage for removing downed trees following a storm. This coverage may be subject to a deductible and may only be applicable if the fallen tree caused damage to covered property.