Glossary

Special limits of liability

Low dollar caps on categories such as cash, jewelry, firearms, silverware and business property that apply no matter how high your belongings limit is.

Also called: special limits, special limits of coverage, theft sublimits

Special limits of liability are dollar caps on specific categories of property within your personal property coverage. They exist because cash, jewelry, firearms and similar items are easy to steal and hard to value, so the standard policy limits what it will pay for them in total, per loss, no matter how large your Coverage C limit is.

In the 2011 ISO HO-3, money is limited to $200 and securities and similar papers to $1,500. Theft of jewelry, watches and furs is capped at $1,500, theft of firearms at $2,500, and theft of silverware at $2,500. There are caps for watercraft, trailers and business property too. Later ISO editions and many insurers' own forms use different amounts, so look at your actual policy. ISO's newer 2022 forms raise several of these limits (jewelry theft to $2,000, for example), but North Carolina's version does not take effect until June 1, 2027, and most policies still use the 2011 form or an insurer's own.

Say a burglar takes $6,000 of jewelry and $400 in cash. Under those figures, the policy would pay $1,500 and $200, a combined $1,700, before the deductible. A special limit does not raise your Coverage C limit; it is a ceiling within it.

The fix is to insure the item separately. Ask about a scheduled personal property endorsement or a floater, supported by receipts or an appraisal. Our guide on special limits on jewelry, firearms and cash shows what the typical policy leaves exposed.

Last reviewed October 11, 2026

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Related terms

Personal property (Coverage C) Coverage for the movable things you own, such as furniture, clothing, electronics and tools, whether they are at home or elsewhere in the world. Sublimit A cap on payment for one type of loss or coverage that is lower than the main policy limit, such as a set dollar amount for mold or sewer backup. Scheduled personal property Individually listed valuables, such as jewelry, art and collectibles, insured for a stated amount each, with broader protection than standard contents coverage. Floater Coverage that insures listed movable items, such as jewelry, art or cameras, at stated values wherever they go, free of a standard policy's low limits. Policy limit The most an insurer will pay for a covered loss under one coverage, set separately for the house, other structures, belongings, living costs and liability.

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Related tools

Home inventory builder Build a room-by-room list of belongings and replacement costs, compare the total with your personal property limit, and flag items over the standard limits. Valuables coverage checker Compare what you own in jewelry, firearms, cash, boats and business property with the special limits in a standard homeowners policy and see what to schedule.