Why you need a home inventory list

Don't have an inventory list of all your valuables? Here's why conducting a property inventory, or home inventory, is a good idea for every homeowner.

Home is where the heart is. It’s also where many of your most valued and treasured items reside. Many homeowners are surprised at how little they remember about the contents of their home once they’re gone. A property inventory involves making a record of, or documenting all of your insurable assets and their estimated value.

While the task itself may be a bit time consuming, you’ll be much further ahead in the event that you need to submit an insurance claim after a theft, damage or loss. It will also help verify tax-deductible property losses and determine the right amount of insurance coverage you need.

1. Go through each room of your home. Make a list of the contents of each room, including furniture and art and the contents of closets and drawers.
2. For each item, record the description, make and model, date and place of purchase, serial number if possible, and the condition.
3. Record the value of each item. Try to include the purchase price, current value, and replacement cost.
4. Take photographs or videos of items and rooms as you go. There are home inventory software programs available that allow you to import your photos and store beside each item.

Putting a dollar value on your prized possessions can be a hard thing to do. Sentimental value isn’t always equivalent to dollar value. But certain items that are unique and/or expensive, such as jewellery, art and silver, you can get a professional appraisal to determine the appropriate value.

Now that you have a record of all of the personal contents of your home and their approximate value, you should take another look at your insurance coverage to determine if it is adequate enough to cover everything or if you need to increase or add coverage for certain items. For example, it might make sense to have separate coverage for a wedding or engagement ring rather than include it in your home policy.

You should also make copies of your inventory and appraisals and store them somewhere safe, preferably away from your home. That way, if damage occurs to your home and you need to make a claim, you can expedite the process by having a detailed record of the contents.