Spotlight_Vol 24_Issue_1

gaming equipment, such as spilling a drink on your keyboard or PC. If you drop something or spill liquid on it, the insurance most likely will not cover it. However, electrical damage is also quite common and may result from water getting into electrical outlets, causing the equipment to short out and become permanently damaged. Most home insurance policies cover this type of damage. Most forms of water damage are also covered by standard • OTHER RISKS: Lighting can also cause damage to gaming equipment since it may cause an electrical shortage. Even electrical shorts on their own should be included in a standard home insurance policy. Check with your insurance provider to ensure that you’re covered for a variety of risks or hazards to give you peace of mind. HOME INSURANCE AND GAMING EQUIPMENT While there is a form of additional gaming equipment insurance that you can purchase separately, your home insurance policy should protect most of your treasured valuables. However, the value of your gaming items might not be included in the total coverage limits. Ensure you’re aware of your policy limits and deductible so that you’re positive your gaming equipment is covered under the same policy. Most home insurance deductibles are between $500 and $1,000. This is the amount you’ll have to pay before the insurance carrier covers the rest, and it’s what you will pay out of pocket each time you file a claim. Theft or vandalism, water and electrical damage, and natural disasters are usually covered and will impact your gaming equipment. However, if items cost well above your total coverage limits, you may consider paying for additional supplemental gaming device insurance. With additional coverage, your gaming equipment insurance will cover things like cracked screens, damage from accidental drops, and damage commonly caused by power surges. Some gaming console companies like Nintendo and Xbox also offer separate insurance policies that you can purchase for an extra fee. Whichever option you choose, make sure

that you select a coverage limit based on the current value of your gaming system and any other related equipment. The insurance company will pay to repair or replace anything damaged if the damage occurred due to a covered listed peril or hazard. Sometimes, the deductible is less than you’d pay with traditional homeowners insurance, so keeping your items covered is worth the extra cost. It’s important to note that the type of coverage you have may depend on where you live. People in California, Virginia, Florida, and New York are covered by home insurance that includes electronics since these items are considered part of your personal property. This is covered to a maximum of $250,000. However, every other state in America considers portable electronics a completely separate category. That’s why considering additional electronics and gaming coverage is so important. Adding Equipment Breakdown Coverage (EBC) to your policy will protect your valuables, including computers, televisions, home security systems, and other electronics and appliances, against damage resulting from electrical or mechanical failures. These hazards are not typically included in a standard home insurance policy. EVALUATING THE COST AND COVERAGE If you’re a serious e-sports enthusiast, it’s worth it to consider paying for additional insurance coverage that will protect your investment. In most cases, the monthly or annual premium will be much lower than a home insurance plan. Some companies charge a one-time fee for every instance or claim you file. For example, you may have to pay a fee of $99 to file a claim, but if you paid over $1,000 for one piece of equipment, the fee is well worth it. Research and shop around to find

90 SPOTLIGHT MAGAZINE ON BUSINESS MAGAZINE • VOL 24 ISSUE 1

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