Understanding Homeowners Insurance
Homeowners insurance is a type of property insurance that covers your home and the things inside it. It can also provide protection against some risks that aren't related to the property itself, such as liability or medical payments if someone gets hurt on or near your property. Homeowners insurance policies vary depending on where you live, the size of your home and contents of the home.
Any changes in your life could affect your insurance needs. Your house and personal possessions can be protected by homeowners insurance, but it's important to choose the right plan for you and your family.
Here are a few common life changes that could trigger adjustments to your policy:
- Marriage or divorce
- Birth of a child
- Changing jobs (or starting one)
- New job responsibilities
Finding the right Insurance for you
To find the right homeowners policy for you, start by discussing your options with an agent or broker who can explain what's available in your area and help you get the coverage that's right for you.
What does your Insurance Policy Cover?
Your homeowners policy protects more than just your home, it also covers damage to other buildings that are part of your property and the personal belongings inside them. It also offers liability protection should someone be injured on your property or if you cause damage to another person’s property.
Your renters insurance protects the personal belongings in your apartment or house against theft, fire, vandalism and other hazards. But it doesn’t cover loss due to floods or earthquakes—those types of losses must be covered under separate policies. Consider buying additional endorsements that expand coverage when traveling outside of town, or add coverage for valuables like jewelry and furs that are not typically covered under standard policies
Personal Property Coverage
While most policies cover personal property such as furniture, appliances and clothing anywhere in the world, certain possessions have limits, such as jewelry, fine art or silverware. Ask about how these items are covered under a standard homeowners policy.
Jewelry is typically covered up to $1,500 per item for theft or loss. However, if you want coverage for more expensive pieces of jewelry (costing more than $1,500), then you'll need to purchase additional coverage called "floater" insurance.
Fine art is another type of personal property that may require separate insurance coverage to protect against theft or damage from fire or other disaster scenarios. If you have an original painting worth thousands of dollars then this needs its own protection beyond what a basic home insurance policy offers.
Understanding all of the Details
Talking to an agent about how best to protect yourself is the first step in understanding all of the details about homeowners insurance. Homeowners insurance is complicated, and it's important that you understand all of its details.
Homeowners insurance is a good investment, so it can help you sleep better at night knowing that if something happens to your home—like a fire or flood—you'll be protected financially.
If you're looking into purchasing new homeowners insurance, talk to an agent today!