Does Homeowners Insurance Cover Theft?

Standard homeowners insurance may cover theft after a break-in. It may also help protect you from costs related to damages, such as a broken window and door.

However, claim reimbursements depend on your policy's limits and deductibles. If your losses exceed your standard home policy's limits, you may not get the support you need. Moreover, if your deductibles are higher than your losses, filing a claim may not be worthwhile.

Learn how standard home insurance and additional coverages may help protect you from theft-related losses.

How does home insurance cover theft?

Standard home insurance may be able to help you in the following ways after a burglary:

Replacing Valuables

Jewelry, such as watches and rings, may be covered up to your policy's limits. For example, if your policy limit is $2,000 for all stolen jewelry, it may help pay up to $2,000 for replacements, minus your deductible.

Valuables that exceed your policy's coverage limits won't be covered up to their full replacement value. For example, let's say a burglar stole your $10,000 watch and $3,000 ring. If your standard home insurance personal property limits are $2,000 for all jewelry combined, your watch and ring may be covered for up to $2,000 total.

Repairing Home Damages

These standard home coverages may help protect you from losses up to your policy's limits after a break-in:

• Dwelling coverage for structural damages caused by the thieves.
• Fire and smoke damage to your home and belongings.
• Acts of vandalism like broken windows, lights and doors.
• Temporary living expenses if your insurer deems your home uninhabitable after the burglary.
• Personal liability if someone sues you for injuries sustained on your property.

Optional Coverages for Home Theft Protection

Buying add-on coverages may help cover more losses if your insurance needs exceed your standard home policy's limits. Consider the following additional coverages:

• Itemized personal property coverage for high-value belongings.
• Identity protection for expenses related to identity restoration.
• Diminishing Deductible coverage may help reduce your home insurance deductible over time to increase your claim support when you need it.**
• Vehicle coverages such as ATV, motorcycle and snowmobile insurance may help deliver specialized theft protection.

Filing a Home Insurance Theft Claim

Taking these steps after a break-in may help your home insurance theft claim move more swiftly:

• File a police report and obtain a copy for your records.
• Collect evidence, such as images of the damages and receipts for missing items.
• Contact your insurance company as soon as possible.

Maintaining an updated home inventory may help this process go even smoother. 

Does your home insurance cover theft?

Contact your American Family Insurance agent to ensure your policy delivers the home insurance theft protection you need. For more insurance-related articles, visit our insurance resources hub.

The information on this webpage represents only a brief description of coverages, is not part of your policy, and is not a promise or guarantee of coverage. If there is any conflict between this information and your policy, the provisions of the policy will prevail. Insurance policy terms and conditions may apply. Coverage features and limits vary by state and may be subject to change. Some products are not available in every state. Discount availability and eligibility vary by state and policy terms. (Discounts apply to auto and property policies.) Please check with your agent and read the policy for exact details on coverages and exclusions.

This article is for informational purposes only and based on information that is widely available. This information does not, and is not intended to, constitute legal or financial advice. You should contact a professional for advice specific to your situation.

*Customers who bundle home and auto insurance policies may save up to 23% on both policies together (as of December 2023). Discounts may vary by state, property, policy form and company underwriting the home and/or auto policy. Discounts may not apply to all coverages on a home or auto policy.

**Diminishing Deductible does not apply to all property deductibles. Named storm deductible applies only to GA. Policy maximum limits are $1000 for homeowners and $500 for renters, condo and manufactured homeowner policyholders.