Most of you who are not full time photographers make the mistake of thinking your gear is covered by your homeowners insurance policy. It is if it stolen from your house, but not from your car or anywhere else (ie. where you will actually be using it).
If you are in an apartment, you probably don't have any sort of policy whatsoever, and you need renter's insurance to cover it. For homeowner's you will probably need to add a rider. Neither of these is very expensive. Our studio has a professional policy with $2 Million in liability coverage and it's only $700 a year. For someone (non-professional) who needs just equipment coverage, you should be able to find something around $100 a year, maybe less.
Hopefully Ted's story will get you all to take action and get yourself insured.