Your renters insurance probably doesn't cover your most valuable stuff at full value. Most policies set sublimits on specific expensive items, meaning your $5,000 engagement ring or $3,000 bike might only be covered for a fraction of what they're worth. Lemonade's Extra Coverage was built for exactly this gap, scheduling individual items over $1,500 for their full replacement cost with no agents and no paperwork.
Here are five high-value items where standard renters insurance falls short, and what to do about it.
Personal Property Coverage Limits at a Glance
- Jewelry: Most policies cap jewelry coverage at $1,000 to $2,500 total for all pieces combined, regardless of actual value.
- Electronics: Per-item limits typically run $2,000 to $5,000, and depreciation reduces payouts further on actual cash value policies.
- Bicycles: Standard coverage is usually limited to $1,000 to $2,500 and often excludes theft from public areas entirely.
Musical instruments: Standard sublimits are often well below the replacement cost of quality instruments, especially for professional use.
What Is Personal Property Coverage?
Personal property coverage, also called Coverage C in most standard policies, protects your personal items against covered events like theft, fire, water damage and vandalism. It sits beneath dwelling coverage in a homeowners policy, but for renters it's the primary protection for everything you own.
It works on one of two bases:
- Named perils: Only covers damage caused by specific events listed in your policy
- Open perils: Covers all causes of loss except those explicitly excluded
Most standard renters insurance policies default to actual cash value payouts, which means depreciation is deducted from your claim before you receive anything. Lemonade pays claims at replacement cost value by default, meaning no depreciation and no surprises when you need to replace something.
What a personal property insurance policy doesn't cover matters just as much as what it does:
- Flood insurance is always separate and water damage from flooding is never included in a standard policy
- Wear and tear is never a covered peril
- The maximum amount your policy will actually pay for specific items is where most people run into gaps
Get a Lemonade quote to see what types of personal property are actually worth covering.
1. Jewelry
Most renters insurance policies limit jewelry coverage to $1,000 to $2,500 total for all pieces combined, with individual item policy limits that vary by insurance company. Standard Coverage C typically applies to theft and fire as named perils but excludes:
- Accidental loss
- Mysterious disappearance
These are two of the most common ways jewelry actually goes missing. If your engagement ring is worth $5,000 and it disappears, a standard policy might pay out $1,500 after your deductible, well below the value of your belongings.
Lemonade's Extra Coverage lets you schedule individual jewelry pieces for their full replacement cost coverage, with broader peril protection that includes accidental loss, a type of coverage that standard policies almost never include. Scheduled additional coverage typically costs 1 to 3% of the item's value per year.
Does standard renters insurance cover lost jewelry? Almost never. Accidental loss and mysterious disappearance are among the most common exclusions in standard personal property policies. If a piece matters to you, scheduling it individually is the only way to make sure you're actually covered. Get a Lemonade quote and add Extra Coverage for the pieces that matter most.
2. Electronics
A standard renters insurance policy typically comes with per-item limits and a total category cap for electronics that varies by insurance company. The larger issue for most people is how much personal property coverage they're actually getting when a claim is paid. If your policy pays actual cash value rather than replacement cost coverage, a three-year-old laptop that cost $2,000 might only pay out a fraction of that after depreciation is applied.
Common electronics exclusions to watch for:
- Home office computers used for business purposes
- Professional cameras and content creation gear
- Any equipment used to earn income
Lemonade pays electronics claims at replacement cost coverage with no depreciation deductions. For cameras and photography equipment, Lemonade's Extra Coverage lets you schedule individual items over $1,500 for their full appraised value. For other electronics like laptops and phones, you can select a higher sub-limit when you set up your policy to make sure your coverage reflects what your gear is actually worth.
What happens if my laptop is stolen and I have an actual cash value (or ACV) policy? You'll receive the depreciated value of your belongings at the time of the loss, not what it costs to replace them today. On a three-year-old laptop, that gap can be significant. Review your policy documents to confirm which type of coverage applies to your electronics. Start your quote with Lemonade to make sure your sub-limits reflect the value of what you own.
3. Bicycles
Personal property insurance for bikes under a standard renters insurance policy is typically capped at $1,000 to $2,500 and usually only applies when the bike is stored at your home. Common exclusions include:
- Theft from a bike rack, parking garage or any public area
- Damage during transportation
- Competitive use
- Professional or commercial use
Electric bikes in particular tend to be underinsured under a standard policy. Class 1 and class 3 e-bikes are eligible for Lemonade's Extra Coverage, meaning you can schedule them individually for their full value. If you paid $2,500 or more for your bike, it's worth reviewing the amount of personal property coverage your current policy actually provides and whether higher limits are available.
Is my bike covered if it's stolen from a public bike rack? Under most standard renters insurance policies, no. Off-premises theft for bikes is one of the most common exclusions people don't know about until they file a claim. With Lemonade's Extra Coverage, your bike is protected wherever it goes. Get a Lemonade quote in as little as 90 seconds to see your options.
4. Musical Instruments
Musical instruments are among the most commonly underinsured personal items in a standard renters insurance policy. A professional violin can be worth $5,000 to $100,000 or more, and even a quality acoustic guitar can run $1,000 to $10,000. The maximum amount a standard policy will pay out rarely reflects the true value of your belongings when instruments are involved.
Standard coverage typically excludes:
- Professional use, meaning if you perform or teach for income your instrument may not qualify as a covered loss
- Temperature and humidity damage
- Risks that come with regular transportation to performances
Does renters insurance cover a professional musician's instruments? Usually not at full value, and professional use is often listed in the exclusions entirely. The amount of coverage a standard policy provides for instruments is rarely enough for anyone who plays seriously. Lemonade's Extra Coverage schedules your instrument for its full replacement cost coverage today, not what you paid years ago. Get a Lemonade quote to see what coverage makes sense for your situation.
5. Fine Art
Fine art can appreciate significantly over time, but personal property insurance under a standard renters insurance policy doesn't adjust for appreciation. Common gaps include:
- Sublimits based on what you paid, not what the item is worth today
- No adjustment for appreciation since purchase
- Documentation requirements most people don't have ready
To schedule a piece of fine art with Lemonade's Extra Coverage, you'll need to provide documentation such as a receipt, invoice or appraisal that establishes the item's current value. That documentation confirms what the piece is worth today and provides the basis for reimbursement if a covered loss occurs.
How does renters insurance handle items that have gone up in value? It usually doesn't. The amount of coverage a standard renters insurance policy provides is fixed at your policy's sublimits, regardless of how much an item has appreciated. Lemonade's Extra Coverage bases reimbursement on current appraised value, not original purchase price, which matters most for personal items that have gone up significantly in value. Get a Lemonade quote to understand your options for scheduling valuable items.
How to Close the Coverage Gaps
If your most valuable personal items are worth more than your policy's sublimits, a scheduled endorsement is the fix. It assigns each item its own dollar amount based on appraised or documented value, sits on top of your base Coverage C limits and covers a broader set of perils than a standard renters insurance policy.
Scheduled additional coverage typically costs 1 to 3% of the item's value per year. For a $3,000 item, that's $30 to $90 annually.
Lemonade renters insurance starts at $5/month, covers your higher-value items through Extra Coverage and takes about 90 seconds to set up. Lemonade is also built around a Giveback program. When you get your first policy, you choose a cause you care about, and Lemonade donates to nonprofits supporting those causes.
FAQ
Actual cash value pays the depreciated value of your belongings at the time of the covered loss. Replacement cost coverage pays what it costs to replace the item with a new equivalent today with no deduction for depreciation. Replacement cost coverage policies typically come with a higher premium but provide significantly higher maximum amount payouts when you file a claim.
Not necessarily. To schedule an item with Lemonade's Extra Coverage, you'll need to provide documentation, but that can be a receipt, invoice or appraisal depending on the item. Appraisals aren't required across the board; for many items, a receipt or current pricing documentation is enough to establish value.
Yes. When you get a Lemonade quote, you can add additional coverage for specific personal items directly during the signup process with no phone calls or paperwork required. Get a Lemonade quote to get started.
Your renters insurance policy will only pay up to the maximum amount set by your policy's sublimits, which can leave a significant gap between your reimbursement and what it actually costs to replace the item. For personal items above your standard Coverage C limits, get a Lemonade quote to see your scheduled additional coverage options.
Coverage availability and specifics vary by state and policy. Review your policy documents for details applicable to your situation.