You need the protection of a homeowners insurance policy to cover your tangible assets. These policies account for your home or apartment, whether you own or rent. A well-written homeowners policy pays to replace any of your personal property that is destroyed in a fire, or in a similar disaster. This policy type is also your first line of defense against a lawsuit stemming from someone being injured in your home.
Other Coverage Details
The cost of your homeowners insurance coverage is determined by many rating factors. The quality of your coverage, however, is determined by the quality of the insurer, and whether or not the policy is written on a named-perils or all-risk basis.
Policy Types
A named-perils policy only covers only losses specifically cited in the contract, while an all-risk policy works the opposite way: unless a peril is specifically excluded, coverage is provided. The all-risk policy is far more comprehensive, and the burden of proof is on the carrier, not you, in the event of a loss.
Generally, covered properties are divided into four separate categories. The definitions of the property, and the extent of coverage vary by state, company and product. So it is important for the consumer to understand the definitions of the covered property.
The four separate categories for your home, as defined by insurance companies, are:
- Dwelling – The structure of the house is considered a covered property.
- Other Structures – These are structures that are separate from the house, or connected to the house by a fence, wire or other form of connection, but not otherwise attached to the dwelling, such as a tool shed or detached garage.
- Personal Property – The contents of your home are your personal properly. This includes furniture, appliances and clothing. Not all personal property is covered. Items more appropriately covered under different forms of insurance may have limited or no coverage for loss. These items include, but are not limited to, money, jewelry and firearms.
- Loss of Use – When a loss occurs due to a covered peril and the dwelling becomes uninhabitable, the cost of additional living expenses is covered. Reimbursement of additional living expenses covers the cost to the insured for maintaining a normal standard of living.
- Personal Liability- Covers you if someone sues you and you are found negligent.
At our company, we understand the need for additional financial information and the importance of knowing the costs before requesting service. We are happy to offer you a quote.