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Question for the Money Doctors

Question submitted on Jul 29, 2014.

Question

I have homeowner's insurance with 100,000 liability. My son forgot to lock the car door with his friend's suitcases inside. All of his belongings were stolen from our vehicle. Insurance says that because his friend is not a member of our household, they will NOT cover his belongings. Would it be covered by our liability?

Answer

Hi, thank you for the question.  I do not think that your liability coverage will cover a stolen suitcase.  Liability coverage is to protect you in case of a wreck where you are at fault.  Even if it were covered, most likely it would not be worth filing a claim.  Insurance companies punish you for filing claims by raising your rates or even dropping your policy.  

I hope this helps.


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