The article concerns the following question – What is Home Insurance? Home insurance is meant to protect your family, your home and your belongings from things like theft, accident, natural disaster, fire and vandalism. The coverage is designed to rebuild or replace your damaged property, anything from replacing a stolen laptop to putting a new roof on the home. Home insurance doesn’t cover just your home, but it usually covers accidents caused by you, your family, or a piece of property you own.
The part of home insurance that we’re familiar with is the portion of the policy that covers damage to your home’s contents and the structure itself. Every home insurance policy is different, so before you purchase one, it’s wise to talk to a few different insurance companies or brokers. That way, you will be absolutely clear as to what your policy does and does not cover. For instance, certain insurance policies may not pay for damages due to fire, flood, earthquake, tornado, or mudslide.
Reimbursement for other items may be limited, depending on your insurance policy’s constraints. Home insurance is designed as a safety net when your belongings such as cameras, jewelry, boats, legal documents and computers are stolen or irreparably damaged. To be safe, get your valuables appraised before you buy a policy, to make sure you are covered for their full value.
Following a natural disaster, home insurance can help you put your home back the way it was before. Basics such as roofing, framing, plumbing, wiring, appliances and floors are covered, but it can also cover paint, sheds, fences, furniture and lawns. Some policies may pay you for the depreciated value of those things in older homes, while other pay for the cost of replacement. While your home is under repair, home insurance will pay for temporary relocation to an apartment or hotel.
Another important part of home insurance is the liability aspect. Liability means your insurance provider will pay your court costs, damages, and other costs stemming from an accident caused by you, a member of your family, a pet, or any accident occurring on your property. For instance, if your mailman trips on your steps and wants reimbursement for medical expenses, you will be covered.
Home insurance is there to protect you and your family from the unexpected. Standard policies cover the structure itself and everything inside your home, and they are what is known as a package policy, meaning that they cover both the damage to your property and your liability for damages caused to others. Most disaster damage is covered, with a few exceptions, such as floods, shoddy maintenance and earthquakes. For floods and earthquakes, a separate policy must be bought. Maintenance-related malfunctions are the financial responsibility of the homeowner.