What Is Burglary Insurance?

Every 13 seconds, a burglary occurs in the United States. The average property loss? $2,251. That’s why many homeowners opt for burglary insurance, a type of insurance policy designed specifically to cover losses that occur as a result of home invasion and theft. It is often included as part of travel, home or property insurance policies, but if you have a significant number of valuable items in your home, you may want to check your policy’s coverage – and consider whether it’s adequate.

Want to learn more about burglary insurance? Check out this infographic for key statistics about burglary, how to prevent it and what to do if it happens to you.

Burglary insurance compensates you when someone breaks into your home to steal your possessions. It covers not only the stolen goods but also any property damage caused by the burglars. Understanding what’s included and excluded in your policy, and what steps to take in the event of a burglary, can make all the difference in safeguarding your home and possessions.

What Is Burglary Insurance?

A burglary insurance policy is a type of crime insurance that covers losses resulting from burglary. Simply put, burglary occurs when someone uses force to unlawfully enter another person’s property, even if nothing is stolen in the end.

The types of losses typically covered include:

• Theft of property from a locked premise, such as a home, business, or vehicle.
• Damage caused by the intruder during the break-in.

Although the terms burglary, robbery, and theft are often used interchangeably, they have distinct legal and insurance definitions. In the insurance world, burglary specifically refers to theft that involves the use of force to unlawfully enter a property.

To have your claim recognized by an insurer, you must file a police report and provide evidence of forced entry, such as a broken window or scratch marks on a door. Without such evidence, the insurer will not consider it a burglary, and you would not be eligible for coverage.

The broadest term for this type of loss is “theft.” In insurance terms, theft refers to any act of taking property without the owner’s consent, regardless of the method used.

If theft is listed as an insured peril on your policy, you can be confident that your property is protected against all types of criminal losses, including burglary, robbery, or other forms of theft.

The terms “burglary” and “robbery” are often used interchangeably, but they have distinct meanings in the context of insurance. Both involve theft, unlawful entry, and the use of force, but the key difference lies in who or what the force is directed toward.

Robbery is defined as using force, threats of force, or intimidation to steal from someone, meaning a victim is directly involved in the act. An example of this is a bank robbery, where tellers and customers are held at gunpoint.

Burglary, on the other hand, involves the use of force or felonious entry, but no force is applied to a person. For example, a “cat burglar” sneaks into a home unnoticed, without any confrontation or victim involved.

To substantiate a burglary claim, insurers typically require proof of ownership of the stolen item(s), a police report, and evidence of forced entry. This could include broken windows, scratch marks on doors, or other signs that force was used to enter the premises. If there are no signs of forced entry, the incident would be considered theft or robbery, not burglary, and may fall under different types of coverage.

Burglary insurance is commonly included in various insurance policies, such as:

• Travel Insurance
• Home Insurance
• Commercial property insurance

However, coverage for burglary is often limited in scope. It might only cover specific types of property (e.g., stock and equipment, but not money or jewelry) or have strict limits on how much compensation you can receive for burglary-related losses.

To expand your burglary coverage, you can add crime insurance riders (endorsements) to your policy. These can cover a broader range of properties and increase coverage limits for burglary losses. One example is a safe burglary policy, which protects the safe and its contents from burglary.

If you’re particularly concerned about crime losses like burglary, you may consider a more comprehensive type of crime insurance called the 3D policy. The full name is the Comprehensive Disappearance, Dishonesty, and Destruction (3D) policy, which provides the most extensive coverage available, protecting against all types of crime losses, including burglary, robbery, and theft.

Typical Exclusions

While burglary insurance provides valuable coverage, certain situations may not be covered. These include:

• Gold, Precious Stones, and Valuables: High-value items may be excluded or have limited coverage.
• Vacant Homes: Theft occurring when a home is unoccupied for a week or more may not be covered.
• Riot and Looting: Theft during civil disturbances might be excluded.
• Household Employee Theft: Losses caused by a caregiver or housekeeper may also be excluded.

What You Can Do After Purchasing Burglary Insurance

Taking preventive measures can reduce the likelihood of a burglary and ensure you’re well-protected:

• Install Security Systems: Homes without security systems are 300% more likely to be targeted.
• Use High-Quality Deadbolts: These locks can add an extra layer of protection.
• Keep Windows Closed: Ensure windows are secured, especially when you’re away.
• Reinforce Sliding Doors: Place a thick wooden dowel at the base of sliding doors to prevent forced entry.
• Ensure Proper Lighting: Make sure your home exterior is well-lit.
• Inventory Your Possessions: Compile a household inventory for easy reference in case of theft.
• Avoid Oversharing on Social Media: Don’t announce vacations or trips online, as it may signal burglars that your home is empty.

What to Do When You’re a Victim of Burglary

If you experience a burglary, follow these steps to streamline the claims process:

• Report the Crime: Contact the police immediately and file a report.
• Notify Your Insurance Agent: Some insurance providers have a limited time window for filing claims, so act promptly.
• Document the Damage: Take photos or videos of any damage caused during the break-in.
• List Stolen Items: Create a comprehensive inventory of all stolen possessions.
• Gather Proof of Purchase: Receipts, online invoices, or instruction manuals may be required to validate your claim.
• Save Repair Receipts: Your insurance may reimburse repair costs for damaged property.

Key Burglary Statistics

• Average Loss: $2,251 in property loss per burglary.
• Frequency: A burglary occurs every 13 seconds in the United States.
• Annual Reports: In 2016, there were 1.5 million burglaries reported.
• Commonly Stolen Items: Cash, jewelry, laptops, firearms, and electronics.
• Property Crimes: Burglaries account for 19.1% of all property crimes.
• High-Risk Areas: Fayetteville (NC), Flint (MI), and Toledo (OH) have some of the highest burglary rates.
• Duration: Burglaries typically last 8 to 12 minutes.

Conclusion

Being prepared with burglary insurance and taking proactive steps can help protect your home and belongings. In case of an incident, following the outlined steps ensures a smoother claims process and quicker recovery.