Many homeowners believe their insurance policy protects them from every possible scenario, only to discover during a stressful claim that certain costly risks require extra coverage. These add-ons—often called riders, endorsements, or floaters—are easy to miss but can make a major financial difference when the unexpected happens.

As weather events intensify and homes continue to age, these supplemental protections have become more important than ever. Flooding now plays a role in the vast majority of natural disasters in the U.S., building standards are continually evolving, and even slight ground movement can damage a structure in ways a standard policy doesn’t cover. With more people owning high-value items, running home-based businesses, and working remotely, reviewing your coverage each year is one of the smartest financial moves you can make.

Below are several types of riders worth evaluating and why they may be beneficial for your household.

1. Flood insurance and water damage protection

In most cases, a basic homeowners policy won’t cover flooding that comes from outside your home or water-related problems that weren’t sudden and accidental. If your property is in an area prone to flooding, carrying a separate flood policy is essential—and in some high-risk zones, it may even be mandatory. As flooding becomes more frequent and more severe across the country, many homeowners need broader protection than they realize. A water‑backup rider provides another layer of defense by covering damage caused by sewer or sump‑pump backups and groundwater intrusion.

Flood insurance through FEMA’s National Flood Insurance Program (NFIP) generally costs around $899 per year, offering up to $250,000 in structural coverage and up to $100,000 for personal belongings. Private insurers sometimes provide higher limits or faster processing, which can be valuable if rebuilding costs in your area exceed NFIP’s coverage caps. With roughly one-third of flood claims occurring outside designated high‑risk zones, even homeowners who believe they’re “safe” could still be vulnerable.

Water‑backup endorsements, usually costing between $50 and $250 annually, tend to offer $5,000–$25,000 in coverage for backup-related damage. Because insurers distinguish between surface flooding (covered by flood insurance) and water backup (covered by an endorsement), it’s important to understand how your policy defines each scenario. Adding backflow prevention or a battery‑powered sump‑pump backup may also qualify you for a small discount on this type of coverage.

2. Earthquake and seismic damage coverage

Earthquake damage is typically excluded from a traditional homeowners policy unless you specifically add it. For those living in active seismic regions, this coverage can be essential. However, even in lower‑risk areas, ground shifting and minor tremors can harm a home’s structure, plumbing, or foundation. A seismic rider offers added protection against these less predictable events.

Most large insurers offer earthquake coverage as an endorsement or separate policy, with particularly strong availability in states such as California, Washington, and Oregon, along with certain Midwestern regions. Deductibles often range from 2% to 20% of your insured dwelling value. For example, a home insured for $500,000 may come with a deductible between $50,000 and $100,000. Although that may seem high, the repair costs for foundation cracks, shifted walls, or structural reinforcement can easily surpass that amount. Many earthquake policies also cover emergency repairs and debris removal, helping reduce immediate financial strain when a seismic event occurs.

3. Building code and ordinance upgrades

If your home is damaged and requires repairs, it must be rebuilt to current building standards—even if the original structure was not up to today’s codes. This can dramatically increase reconstruction expenses. Without an ordinance or law rider, those additional costs may fall entirely on you.

Modern building codes evolve frequently, especially regarding insulation, electrical systems, plumbing, energy efficiency, and structural safety. These upgrades can add 10%–20% to the total rebuilding cost, and standard homeowners policies rarely cover that difference. Ordinance or law riders typically offer coverage equal to 10%, 25%, or even 50% of your dwelling limit, giving you breathing room for required updates. Sometimes even small incidents, like a fire in one room, can trigger code upgrades throughout undamaged portions of the home. Ask your insurance representative whether your policy includes “increased cost of construction” language to ensure you’re protected against these expenses.

4. Scheduled personal property for valuable items

Most homeowners policies have low reimbursement limits for certain high‑value belongings, including jewelry, collectibles, art, and electronics. If you own items that exceed those limits, you may want to consider scheduling them individually. A scheduled personal property rider allows you to insure those belongings at their appraised value for broader protection.

Standard policies may limit coverage to $1,500 per jewelry item, $2,000–$5,000 total for firearms, or $2,500 for silverware—far less than what many households own. Scheduling valuable items provides “all‑risk” protection, meaning loss, theft, accidental damage, and in many cases, mysterious disappearance are all covered. Premiums generally cost about $1–$2 per $100 of insured value—for example, about $200 annually to insure $10,000 worth of jewelry. Regular appraisals help keep coverage amounts accurate, and many insurers extend this protection worldwide, which is helpful if you travel with valuables. Maintaining a digital home inventory with photos and receipts can make the claims process much smoother.

5. Home‑based business coverage

If you run a business from your home or store business equipment on the property, you may not have enough protection under a standard policy. Homeowners insurance typically provides only limited coverage for business‑related property. A business rider can help protect equipment, inventory, and liability associated with your operations.

Most homeowners policies cover up to $2,500 of business property in the home and only $500 off‑site—amounts that fall short for many remote workers and small business owners. A business property endorsement can raise this limit to $10,000–$25,000, while a dedicated home‑business policy adds critical liability coverage, especially if clients or customers visit your home. Some policies revised after 2020 exclude equipment used by remote employees unless you add an endorsement, so it’s important to confirm how your policy treats work‑related belongings. Depending on your needs, you may also consider riders for business interruption, cyber protection, or inventory coverage if you sell physical goods.

Final thoughts

Riders are more than optional add-ons—they’re strategic tools that help shield you from costly surprises. As inflation rises, natural disasters intensify, and building standards continue to evolve, endorsements can help keep your coverage aligned with real‑world risks. Reviewing your policy annually—especially after major purchases, renovations, or life changes—ensures you stay protected. Keeping digital copies of receipts, appraisals, and home inventory details can also speed up future claims. And if you bundle policies, you may even save up to 20% on premiums.

If you’d like help evaluating which riders might make sense for your situation, feel free to reach out anytime.