Home Insurance Overview for 2017
Why do you need home insurance?
Ok. So, maybe the old saying is a play on words to show that our hearts are more important than our place or dwelling. But, let’s be honest. We all want to take care of our physical homes and everything they contain. With a homeowner insurance policy, you can cover a wide range of things starting with the building (home) itself. It can extend to any outlying buildings or all of your contents. Home insurance can be more valuable than just keeping your property safe. It can even act as a legal support in case you are held liable for injuries to a visitor through an accident while they visit your property.
What policy sections are available?
Your home insurance policy can cover four main areas:
Structural (Dwelling) insurance:
This will cover the actual building. If you need to know that the primary building itself is protected against damage, this is the fundamental part of most policies.
If your property also has other buildings that are not directly attached to your home such as a garage, shed or outhouse, then you can insure these structures as well.
This will cover all of your personal belongings within the home. While naturally, contents insurance is not fully comprehensive, it is designed to protect things like your furniture. However, it won’t cover all personal belongings. It won’t fully cover specialty items like firearms, stamps, furs, musical instruments…You can always arrange for further, more specific coverage for specific personal belongings by detailing all of those you need covering on what is known as a rider.
In the event of your property becoming uninhabitable due to a covered incident, your insurance policy may cover your expenses associated with renting or living in another dwelling until yours is deemed fit for purpose again.
Why purchase a home insurance policy?
Simply put, in most circumstances, you will not have a choice whether you purchase a policy. If you are a homeowner who pays for a mortgage, the lender or financial institute you borrow from will expect you to, at the very least, have a fairly comprehensive structural insurance policy. If anything then happens to your property, the lender is sure that the property can be repaired to guarantee their investment. Even if you are not required to buy home insurance, we think it would be best if you did.
We often think that nothing will happen to our homes. They are our own little fortresses and places of refuge. That is why it is even more important to insure them! Realistically, a property is the most expensive purchase anyone will make. They are also most often not recoverable if we were to lose them. While home insurance may seem like one corner we can cut in a pursuit of lowering our expenses, is it really worth the risk? At the very least, it is worth insuring your property itself through homeowner (structural) insurance. While comparing policies, you should consider insuring your belongings for a marginally higher premium.
Contact the professionals at InsuranceDirect.com for assistance in comparing and purchasing a homeowners policy built for your specific needs.