broken glass window
Does Home Insurance Cover Burglary?

A burglary happens when someone forcibly breaks into your home and steals some of your property. There must be some visible sign of a break-in: a broken window, clipped lock, or splintered door. Most homeowners policies do provide coverage for burglary, but not all:

Home Type Policy Type Burglary Included
Owner Occupied HO3, HO5 Yes
Townhome/Rowhome HO3 Yes
Condo HO6 Yes
Renters HO4 Yes
Older/Seasoned Home HO8 No
Landlord/Rental Home DP3 No
Vacant Home DP1 No

Should I File a Burglary Claim?

Just because your policy covers burglary or theft, doesn't mean you should file a claim. The tricky part about this claim type is it looks terrible on your claims record. Carriers would score a theft or burglary claim as partially the fault of the homeowner, even if it were entirely out of your control. The harsh treatment is because many theft/burglary claims do happen because of not having a secure home or being away for long periods.

It is not a good idea to file a theft claim unless it is more than 3x your deductible. If you have a $1,000 deductible and $2,000 worth of electronics get stolen, it is probably not in your best interest to file a claim because:

  1. You are only going to get $1,000 from the insurance company -- you pay the deductible.
     
  2. You will have a theft claim on your record for the next 3-5 years. Carriers charge more for customers with theft claims, and you may get dropped from future insurance companies altogether. It can even be hard to secure insurance if you have other losses on your record.
     

Experiencing a break-in is scary and makes you feel very vulnerable. Still, it's worth it to play smart with your insurance company so as not to create more costs down the road.

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Stay strong - you'll get through this one too!

At your service,
Young Alfred