Quality Homeowners’ Insurance Coverage
It matters little if your place of residence is your primary dwelling, a vacation getaway, or simply a property purchased for investment purposes, you will likely want and perhaps even be required to obtain good homeowners insurance. Usually, a lender will mandate that a homeowner purchase some level of home insurance coverage for the duration of the loan. Generally, the lender will have a minimum coverage requirement that is related to the replacement cost of the home. Even if you own your home outright, it is pretty much a no-brainer to protect your investment with this coverage.
This coverage will compensate one for most, if not all, of the expense to repair or replace the dwelling if some kind of covered loss were to occur. Examples of losses include fire, localized flooding, damage from a wind storm, theft, vandalism or other related incidents. Some coverage will specifically not apply to some excluded events listed in the policy details, while others will only include protection for specifically listed perils. When investigating a policy, be sure to familiarize yourself with the coverage parameters. Keep in mind that this coverage will not insure the land on which the dwelling sits, so the replacement policy will usually reflect an amount that is less than that of the appraised value.
Some will opt to buy a homeowner’s insurance policy that includes personal property protection. The personal property component provides a payout to the homeowner if furnishings, appliances and/or other personal items in the dwelling are lost or damaged. Coverage often also includes a liability aspect, which can compensate one for court costs, among other expenses, if someone is injured on the policyholder’s property. Coverage can also pay for a homeowner’s living expenses should he or she be displaced as a consequence of property damage during a home’s repair or rebuilding.
If you already own your home or are in the process of purchasing one, it is likely the biggest investment you’ll ever make. Does it not make sense to protect your investment with good homeowners insurance? Call one of our insurance professionals to find out how you can benefit from having various extra or optional coverages. In doing so, you may also make changes to your deductible to ensure affordability. In purchasing good homeowners insurance, you will embark upon the endeavor of protecting yourself if you suffer loss with your home.