Is your million-dollar home fully protected?
Would your current policy really cover everything you’ve worked for?
If you own a luxury home or collect rare and valuable items, chances are your insurance coverage isn’t keeping up. Most high-net-worth families carry policies that look fine on paper—but they miss crucial details that could cost you big.
This article walks you through the coverages that truly matter—so you can feel confident nothing is slipping through the cracks.
Your Home Needs Coverage Based on Rebuild Cost—Not Market Value
Luxury homes aren’t like standard homes, and your insurance shouldn’t treat them that way.
A typical policy looks at what your house could sell for—but rebuilding a custom estate after a fire or storm often costs far more. Imported materials, artisan finishes, and architectural design all drive up costs.
Instead, you need a policy based on what it would actually cost to rebuild.
Look for:
Replacement Cost Coverage that reflects true rebuild expenses
Extended replacement to cover inflation or labor spikes
Loss of use to fund upscale temporary housing if you’re displaced
This alone can prevent six-figure gaps if disaster strikes.
Umbrella Liability Insurance: One of the Smartest Moves You Can Make
One serious lawsuit can be financially devastating—especially for families with visible wealth or public profiles.
Umbrella insurance steps in when your home or auto liability limits are exhausted. For high-net-worth families, it’s an essential layer of protection.
It can cover:
Injuries to guests at your home
A major car accident involving your teenager
Defamation claims tied to online activity
Dog bites or pool-related accidents
It starts around $300 per year for $1 million in coverage—making it one of the most affordable, high-impact policies you can carry.
Protecting Jewelry, Art, and Collectibles Takes More Than a Standard Policy
Most homeowners policies limit how much they’ll pay out for valuables—and the default amounts barely scratch the surface.
If a vintage guitar collection is damaged, or a ring goes missing during travel, you might find out too late that you’re only covered for a few thousand dollars.
Here’s what to consider:
Scheduled Personal Property (also called a “valuables rider”)
Agreed Value Coverage for rare or one-of-a-kind items
No deductible in many cases for a full payout
Exotic or Collector Cars Need Special Coverage Too
Luxury and collector vehicles don’t fit neatly into standard auto policies.
Traditional insurance looks at depreciation—but many collector cars appreciate over time. If your custom build or exotic brand is totaled, you might not get what it’s really worth.
What you want is:
Agreed value coverage
Flexible pricing if you only drive occasionally
Cyber and Identity Protection Is No Longer Optional
High-net-worth individuals are frequent targets for scams—especially wire fraud and identity theft. If someone hacks your email and reroutes a home down payment or business transfer, the financial loss can be huge.
A cyber liability policy can help cover:
Reimbursement for stolen funds
Identity theft recovery
Legal support for breach fallout
Assistance with cyber extortion
This isn’t just for businesses anymore—affluent households need this too.
If You Employ Domestic Staff, EPLI Could Save You From Legal Trouble
If you have a nanny, chef, driver, or personal assistant, you also carry the legal responsibilities of an employer.
That means you can be sued for:
Wrongful termination
Discrimination or harassment
On-the-job injuries
AnEmployment Practices Liability Insurance (EPLI) policy helps protect your household from these risks. You can often bundle it with your umbrella policy or purchase it separately.
What to Do Next
You’ve spent years building a life you’re proud of—don’t let avoidable gaps put it all at risk.
If any of the coverages above made you pause and wonder whether you’re protected, it’s time to get a second opinion. We’ll help you understand what’s missing and how to fill the gaps.
