Should I Get Insurance for My Gaming Consoles and PCs?

Gaming consoles and PCs are covered by homeowners insurance but you can secure even broader protection by purchasing a separate video game console insurance policy, which may be worthwhile if you have a highly valuable collection of gaming paraphernalia and want more coverage than is automatically included in your home insurance policy.

Continue reading for more information about how to obtain insurance for gaming consoles and what types of coverage are most important for gamers.

On This Page

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  What Type of Insurance Covers Gaming Consoles?

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  What Ways Can I Protect My Gaming Console From Damage or Loss?

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  How To File a Claim for Your Video Game Console or Gaming PC

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  FAQs

What Type of Insurance Covers Gaming Consoles?

Some specialty insurance companies offer gaming console insurance policies specifically designed to cover common losses involving gaming systems such as the Nintendo Switch, PlayStation 5 and Xbox Series X/S. Some of the perils that may be covered by gaming system insurance if they result in damage to your electronics include the following:^[1]

If your gaming PC or console is lost or destroyed due to one of these perils, your insurer may pay to repair individual components such as power supplies, CD drives, headphone jacks and HDMI ports or replace the entire console if it is not salvageable.^[1]

An example of an insurance carrier that specializes in covering video game systems and other electronics is Worth Ave. Group. For less than $50 per year, you can purchase a three-year protection plan with a $50 deductible to cover a console worth $400 through Worth Ave. Group.^[1]

Does Homeowners Insurance Cover Video Game Consoles?

Homeowners insurance also includes coverage for video games consoles and other electronics like TVs, smartphones and iPads through the personal property coverage portion of the policy. Standard policies insure your belongings against the following 16 named perils but won’t cover any other sources of damage to your electronics:

Your belongings are often insured at their actual cash value (ACV), which means your payout after a covered loss will take into account the extent to which your possessions have depreciated in value since you bought them. However, you may be able to upgrade to replacement cost value (RCV) coverage by paying a 10% higher premium.^[2] In addition, most policies include limited off-premises coverage that applies to belongings damaged or stolen outside of your home including handheld gaming consoles.^[3]

You should note that you shouldn’t file a home insurance claim when your video game console is damaged by a covered peril unless the cost of repairs or replacements would exceed your deductible. For example, there is no reason to file a claim after a sudden power surge causes your $500 PlayStation 5 to stop running if you have a $1,000 deductible.

Do I Need Insurance if I’m a Professional Gamer?

If you stream video games or compete in esports tournaments professionally, then you will need to purchase commercial insurance to properly cover your gaming and streaming equipment. Examples of commercial coverage types that may be beneficial for self-employed professional gamers include the following:

• General liability insurance: General liability insurance is one of the most fundamental commercial coverage types across all industries because it covers medical expenses and repair bills if your business is held responsible for someone else’s injury or property damage. It can also cover legal fees if you are accused of defamation or copyright infringement. For example, it might cover a legal settlement if a video game developer sues you for failing to request a license before livestreaming its game.
• Commercial property insurance: Since basic homeowners insurance policies exclude coverage for claims involving a home-based business, you will need commercial property insurance to cover sudden damage to game systems, computers, monitors, headsets and other equipment you use for business purposes.
• Business interruption insurance: Business interruption insurance can make up for lost income if a covered peril prevents you from operating your business as usual. For example, it might pay out the amount of money you would normally make in ad revenue during a week of streaming if you must take a week off because your equipment was stolen and you are waiting for replacements. Many insurers sell business owners policies (BOPs) that combine the above three products into one coverage package.
• Professional liability insurance: Professional liability insurance can cover legal expenses if you are sued for failing to correctly perform your professional duties. For example, your professional liability coverage may protect you if you sign a contract with a sponsor agreeing to stream during a certain time slot but you are then blocked from streaming after your Twitch account is suspended because you violated the website’s terms of service.
• Cyber liability insurance: Cyber liability coverage is an insurance product that covers third-party liability claims involving a data breach or some other cybercrime. For example, if you collect viewers’ email addresses so you can add them to a mailing list, your cyber insurance could protect you in case you are sued after their contact information leaks online.
• Media liability coverage: Though general liability insurance covers advertising injury claims related to the promotion of your business, coverage may not extend to claims related to the promotion of someone else’s business unless you have media liability insurance.^[4] For example, if you encourage your social media followers to register for a tournament someone else is hosting, media liability coverage could step in if you are sued because your ad references another tournament organizer in a defamatory way.
• Equipment breakdown coverage: You will need equipment breakdown insurance to cover damage to your electronics caused by certain perils that commercial property insurance doesn’t cover such as short circuits and other kinds of internal mechanical breakdowns.

What Ways Can I Protect My Gaming Console From Damage or Loss?

There are various steps you can take to keep your gaming consoles in good condition and ensure they won’t experience damage that would require you to file an insurance claim. For example, you should plug your electronics into surge protectors to lower the risk that they will be damaged by voltage spikes. You should also try to keep liquids away from your electronic equipment.

In addition, you should be careful about where you place your consoles and PCs. It’s best to keep them in a well-ventilated area so they are less likely to overheat. At the same time, you may want to keep them away from windows where they are more likely to be noticed by potential thieves.

Finally, you should be sure not to abuse your gaming equipment and instead handle it with care so as to avoid unnecessary drops or scratches. Meanwhile, you should regularly clean your consoles, keyboards, controllers and other gaming peripherals using electronic contact cleaner, dust brushes or dry cloths as appropriate.

How To File a Claim for Your Video Game Console or Gaming PC

After you experience a covered loss, you can take these steps to file a claim with your homeowners or electronics insurance company:

1. Call the police if your console or PC was stolen or damaged by a vandal and ask the responding officer to complete a police report.
2. Contact your insurance company to initiate the claims process and schedule an appointment with an insurance adjuster.
3. Take photos or videos to document the extent of the damage if possible.
4. Make emergency repairs to your home if needed to keep further damage from taking place.
5. If you are filing a homeowners insurance claim and are still paying off your home, get in touch with your mortgage lender to update them on the progress of the claim.
6. Show evidence to the insurance adjuster such as pictures, videos, police reports or a home inventory that includes the date you purchased your console and how much you paid for it.
7. Keep track of any documents or receipts that pertain to your claim.
8. Address any issues that arise with your claim and fill out paperwork as necessary.
9. Accept your insurance company’s payout or reject it and reach out to an independent adjuster or lawyer who can help you challenge the settlement.