Are Smart Locks Insurance Approved

the rate at which smart homes have been growing has been steadily increasing over the past several years. It has been estimated that the number of smart homes in the U.S. will grow to nearly 30% by 2021.

With all these smart devices being part of our lives, a lot of new problems and questions start to emerge. One of which is about insurance.

Are smart locks insurance approved? Smart locks are usually insurance approved, but certain policies may offer limited cost coverage. Smart locks fall under the category of property insurance as long as the insurance has been updated after the installation of the smart locks. Smart door locks can also affect your insurance premiums.

How Does Home Insurance Work?

To better answer this question, let’s make sure that we cover what home insurance is and how it works.

Home insurance is not mandatory or required by law (unlike car insurance, which is). Home insurance is there to protect one of the most valuable assets that people have—their homes.

With that being said, home insurance is often required by mortgage lenders. The reasoning behind that is very simple.

The lender wants to protect your home as much, if not more, as you do, simply because, this home in a certain way is co-owned by the homeowner and the lender. The lender wants to protect their investment and future returns if the homeowners cannot pay their mortgage or the home is destroyed.

What Does Home Insurance Cover?

We all know what a tricky topic is home insurance. There are many different caveats and fine-print types of details that we all need to be very careful about.

Typically home insurance covers damage caused by, but not limited to

vandalism,

fire,

hail, and

lightning.

Home insurance also covers different aspects of your home. For instance:

Dwelling insurance covers and pays for damage done to the structure of the property. Such damage can be caused by fire. Damage done by floods, earthquakes, and tornadoes is case-specific and usually covered by separate types of insurance.

Personal property insurance covers various items and belongings found on the property premises like electronics, clothing, and furniture.

There are other types of insurance, like liability insurance and loss of use insurance, but these are a little different and do not really apply to what we are interested in this article.