What is included in the declarations of a property policy?

The first page of an insurance policy is the insurance declarations page. It lists the named insured, policy term, and other key points about the insurance provided. Also known as the DEC page, it’s the first place to check for essential information about your insurance coverage.

Most small business policies come with insurance declarations pages, including:

A declarations page is important because it summarizes the key points about your policy. It details what you’re insuring, how your coverage works, and how much it costs.

There are four basic parts to an insurance contract:

• Declaration Page
• Insuring Agreement
• Exclusions
• Conditions

It is important to understand that multi-peril policies may have specific exclusions and conditions for each type of coverage, such as collision coverage, medical payment coverage, liability coverage, and so on. You will need to make sure that you read the language for the specific coverage that applies to your loss.

This page is usually the first part of an insurance policy. It identifies who is the insured, what risks or property are covered, the policy limits, and the policy period (i.e. time the policy is in force).

For example, the Declarations Page of an automobile policy will include the description of the vehicle covered (e.g. make/model, VIN number), the name of the person covered, the premium amount, and the deductible (the amount you will have to pay for a claim before an insurer pays its portion of a covered claim).

Similarly, the Declarations Page of a life insurance policy will include the name of the person insured and the face amount of the life insurance policy (e.g. $25,000, $50,000, etc.).

This is a summary of the major promises of the insurance company and states what is covered. In the Insuring Agreement, the insurer agrees to do certain things such as paying losses for covered perils, providing certain services, or agreeing to defend the insured in a liability lawsuit. There are two basic forms of an insuring agreement:

• Named–perils coverage, under which only those perils specifically listed in the policy are covered. If the peril is not listed, it is not covered.
• All–risk coverage, under which all losses are covered except those losses specifically excluded. If the loss is not excluded, then it is covered. Life insurance policies are typically all-risk policies.

Exclusions take coverage away from the Insuring Agreement. The three major types of Exclusions are:

• Excluded perils or causes of loss
• Excluded losses
• Excluded property

Typical examples of excluded perils under a homeowners policy are flood, earthquake, and nuclear radiation. A typical example of an excluded loss under an automobile policy is damage due to wear and tear. Examples of excluded property under a homeowners policy are personal property such as an automobile, a pet, or an airplane.

Conditions are provisions inserted in the policy that qualify or place limitations on the insurer’s promise to pay or perform. If the policy conditions are not met, the insurer can deny the claim. Common conditions in a policy include the requirement to file a proof of loss with the company, to protect property after a loss, and to cooperate during the company’s investigation or defense of a liability lawsuit.

Most policies have a Definitions section, which defines specific terms used in the policy. It may be a stand-alone section or part of another section. In order to understand the terms used in the policy, it is important to read this section.

An insurer may change the language or coverage of a policy at the time of the policy renewal. Endorsements and Riders are written provisions that add to, delete, or modify the provisions in the original insurance contract. In most states, the insurer is required to send you a copy of the changes to your policy. It is important that you read all Endorsements or Riders so you understand how your policy has changed and if the policy is still adequate to meet your needs.

To obtain a copy of your insurance policy, please contact your insurance agent or company.

Buying a home can be an incredibly fulfilling process. While there are often several moving pieces as a part of the process, one crucial area new homeowners need to pay attention to is homeowners insurance.

When you purchase homeowners insurance, you can select a variety of coverages and coverage limits to ensure peace of mind as you enjoy your new abode. The homeowners insurance declaration page is a one-page summary of all the key components of your policy.

Typically, your insurance carrier will send you a declaration page during your initial policy purchase and whenever any changes are made to your elections.1

A declaration page is proof of homeowners insurance, which mortgage carriers typically request on an annual basis. The information on this page can be useful to understand basic coverages and limits in your policy in the event you are considering whether or not to file a claim. You (and/or your claims adjuster) will need to be review your policy to make final coverage decisions since the Dec Page is a summary.

Obtaining a copy of your homeowner insurance declaration page is simple. If you’ve printed your policy, look at the first page – that’s typically where all the declarations are. Similarly, if you have an electronic copy of your homeowners insurance policy, you can usually find it on the first page.

You can also download a copy from your carrier’s mobile app, if available, or request a copy from your insurance provider.

• The named insured: this refers to the policyholder. This part of the declaration page may also refer to others covered underneath your policy as “additional insured” (usually a spouse or additional owner of the insured home) or “second insured” (roommates and partners for example) You may also find their names and ages here.
• Policy number and effective dates: Your declaration page will usually contain your policy number for easy reference, as well as when your coverage will start and end.
• Home information: Key details surrounding your home are usually found in this section. They range from detailing the year your house and roof were built to a list of security systems to your mortgage lender’s information.
• Coverage Types: Your declarations page will include the types of coverage within the policy. This can range from your dwelling (the physical part of your home), other structures such as fencing, personal belongings, and more.
• Coverage Limits & Deductibles: The amount you pay out of pocket until your carrier covers your claim is called the deductible. You’ll find this amount on your declaration page as well as your coverage limits – how much your insurance will pay up to.
• Discounts, Endorsements & Add-ons: Your declaration page may also include any special discounts and add-ons not available in the original policy. Any time you add or remove these, you’ll receive a new declaration page. Discounts typically include if you’ve bundled your home insurance with other insurance such as auto, for example, but can also include loyalty discounts and more.

  You may be interested in discounts available through Nationwide’s smart home insurance program, a new, innovative way to help keep your home safe from water damage, break-ins, fires and more with support from the Notion Smart Home Monitoring System. Please note that Nationwide’s smart home program is available in select states at present. Learn more.

• Premium: How much you pay for your insurance coverage is typically included on the declaration page. Homeowner insurance ranges in price based on your location, coverages, discounts, the age and condition of your home, and other factors. Learn more about how much homeowners insurance costs.2

• Policies & coverages you don’t have: Depending on where you live, other special coverages such as earthquake coverage or flood coverage may be available to purchase. If you don’t have these, you won’t find them on the declaration page.
• The details of your policy: While the declaration page is a quick way to understand what’s in your policy, it typically doesn’t include the ins and outs of the policy, such as special exclusions or endorsements. You can refer to your full policy documents to get all the details.3

While declaration pages generally contain the same information, the page in your policy may look different depending on what state you live in or your insurance provider. The order your coverages, deductible, premium and limits are listed in may vary. In some cases, a declaration page may be longer than one page.

Whether you’ve recently purchased a new home or have been living in your residence for some time, homeowners insurance is incredibly important. Not only is it typically required by mortgage companies, but it can also give you reassurance that your home is covered during life’s unexpected moments. Renters have their own insurance and similar declarations page, too. While you may be tempted to quickly dismiss a declaration page communication from your carrier, it’s wise to review it in detail each year for any needed updates. Why? Because your premium and coverage depend on accurate information.

If you’re curious what kind of homeowners insurance coverages and discounts are available in your state, get a quote from Nationwide.

Your home is your safe space. Let Nationwide keep it safe with a custom quote that matches your unique needs.

[1] https://www.quickenloans.com/learn/homeowners-insurance-declaration-page, Accessed October 2021.

[2] https://www.policygenius.com/homeowners-insurance/homeowners-insurance-declarations-page/, Accessed October 2021.

[3] https://www.quickenloans.com/learn/homeowners-insurance-declaration-page, Accessed October 2021.