If your home is damaged or destroyed by flood, fire, or some type of natural disaster, you will be amenable for the entire cost of rebuilding your home. Purchasing home insurance can restore your personal property or protect you if you are liable for damage to another person’s property or an injury sustained on your property. Additionally, you could also get coverage to cover court fees, food and lodging if you have to leave you home. Meeting with an insurance agent can help you figure out which form of insurance is going to be most effective.
When you buy your first house, you’re making a serious financial and emotional investment. Home insurance can be a great asset to ensure that you are covered in the scenario that your home is destroyed or damaged.
Homeowner’s insurance can vary from liability coverage to larger policies that provide coverage for your personal property or the structure of your home. There are also specific policies that protect your home in case of flood, fire, or earthquake.
Meet with a qualified insurance agent from Keats Insurance Agency agent today and find out what type of home insurance best fits your needs. The most fundamental types of homeowner’s insurance policies are listed as follows:
An HO-1 homeowner’s insurance policy gives you essential coverage. It covers destruction caused by certain events, including fire, lightning, windstorms, hail and explosions. These programs also usually cover damage instigated by civil conflict and volcanic eruptions. Since this policy is very limited, many states no longer offer it.
This policy safeguards you from 16 types of events, including the resulting destruction from burglary, vandalism or civil tension. It also covers hail damage, windstorm damage and broken glass, along with smoke damage and wreckage caused by a vehicle. If your pipes erupt or your roof disintegrates, this policy will also cover that.
HO-3 policies cover all possible reasons of damage to your property and belonging loss, with the exception of precisely listed events. Exclusions contrast from policy to policy, so read yours conscientiously to understand what is going to be left out.
Basic vs. Extra Coverage
Simple homeowner’s insurance typically takes care of the money it will cost to restore compromised property, as well as the auxiliary costs if your home is destroyed. It also covers your belongings, but the items inside your house are only covered for up to 40 percent of the home’s insured value. Extra coverage will defend you against earthquakes and floods, as well as covering the loss of private property like jewelry, computers and cameras.