Today, a client called me inquiring about coverage on his auto policy. The conversation did not go as well as we both had hoped. He had started out by telling me his car was broken into; well that's simple, he had full coverage so EVERYTHING must be covered. Unfortunately NOT. There was no damage to the car, no broken glass, no scratches, nothing. He had mentioned about $30 in loose change and bills was probably taken, but hey they didn't take the car. What they did take was a $2000 piece of electronic equipment from his trunk.
When he told me that, I immediately asked him if he owned a home, to which he responded, "I'm a renter." I came back with what I thought was an obvious answer, "great! your renter's insurance will cover what was stolen from the vehicle."
"I don't have renter's insurance," he responded; there was a moment of silence on the line. He couldn't get over the fact he didn't have what he NEEDED, especially something he had turned down in the past. Telling someone that they aren't covered is not a conversation any insurance agent wants to have with a client, and it isn't something that an insured wants to hear.
The conclusion to this story is that personal property in your vehicle is NOT covered by your auto insurance, but rather your home/condo/renters insurance policy. When Mr. X had turned down having his renter's insurance with the same company as his auto insurance for a premium of about $100 a year he was losing a lot more than just a multiline discount. Now Mr. X is out $30 in loose change and a $2000 replacement on his equipment.
The moral of the story is to check what your policies cover, talk to your insurance agent, and cover your loose ends. No one needs insurance until something happens.