Is Lost Luggage Covered By My Homeowners Policy? Written by Chad Hines on 11/9/2011 4:44 PM . It has 0 Comments. Here at Sun Pacific, we get a number of insurance questions. From time to time, some of the questions stand out so much that we feel the need to publish the answers, so that you can stay informed as well. Last week, one of those popular questions showed up on our desk. Here it is... Q: I recently went on a great vacation, but the airline completely lost my luggage. What does my homeowners policy cover in this situation? A: Under a “named peril” policy, there is no coverage for lost luggage. There are 16 named perils under a homeowner’s policy and “lost” is not one of them. In this case, you would need to file a claim with the airline, since the luggage was under their “care, custody and control.” The airline would be responsible for the luggage and the contents therein. Most homeowners policies are named peril, but there are a few exceptions.