Why knowing what you own is crucial

Life Happens. No one knows what the future holds. Hopefully, mostly good things. However, realistically, bad things will happen too. No one is exempt from experiencing a fire, a natural disaster or a home invasion with theft. In an instant, everything you worked so hard to own could be destroyed or lost. The good news is there are things you can do to smooth out the bumpy times that inevitably lie ahead.

Be prepared with an inventory of your assets...

As if going through a catastrophe isn’t bad enough, you’ll find the recovery process can be challenging. When you make an insurance claim for damaged, lost, or stolen property, your insurance policy will require you to show the quantity, description, and possibly the amount of loss associated with each item. You’ll need to provide such details as brand names, model numbers, serial numbers and photos. You may also be asked to provide copies of bills, receipts, or other documentation to support your figures. If you omit some items or fail to include an adequate description of your personal property, you may receive less than full compensation for your losses. Relying solely on your memory can be an expensive mistake. A detailed inventory of your home’s contents needs to be done before a tragedy strikes.

Even if you are one of the fortunate folks who doesn’t experience a fire, natural disaster or home invasion with theft, there is one event you’ll certainly face. Death is foreseeable for everyone. Adequate estate planning requires an inventory of your personal property. The probate process will be smoother for your heirs. Another occurrence for many folks is divorce; happening in close to 50 percent of all marriages in the U.S. The divorce proceedings require documentation of the couple’s assets to establish a fair distribution. If a record of the personal property hasn’t been done prior to filing for the divorce, trying to conduct a home inventory while facing a legal challenge will only compound your stress. A detailed inventory of your home’s contents needs to be done for estate planning and divorce purposes.