Which Policy Do You Have? A Form 2…a Form 3… a Form 5??
Which Policy Will Cover You Best?
“Value” on Homeowners insurance is about more than just a low price. Value is having an agent who can give you the right guidance and provide the kind of coverage that will be there when you need it from a stable company at the best available price. Our agency offers a variety of comprehensive homeowners insurance policies to choose from, and these plans can be tailored to suit your individual needs and budget.
Homeowner Insurance 101
Homeowners insurance provides financial protection against covered disasters. A standard policy insures the home itself and your personal property.
Homeowners insurance is a package policy. This means that it covers both damage to your property and your liability or legal responsibility for any injuries and property damage you or members of your family living in your household cause to other people.
1. The structure of your house
This part of your policy pays to repair or rebuild your home if it is damaged or destroyed by a disaster listed in your policy. When purchasing coverage for the structure of your home, it is important to buy enough to rebuild your home.
Most standard policies also cover structures that are detached from your home such as a garage, tool shed or gazebo.
2. Your personal belongings
Your furniture, clothes, and other personal items are covered if they are stolen or destroyed by an insured disaster. The best way to determine if this is enough coverage is to conduct a home inventory.
Expensive items like jewelry, furs and silverware are covered, but there are usually dollar limits if they are stolen. To insure these items to their full value, purchase a special personal property endorsement or floater and insure the item for its appraised value.
3. Liability protection
Liability covers you against lawsuits for bodily injury or property damage
The liability portion of your policy pays for both the cost of defending you in court and any court awards—up to the limit of your policy. You are also covered not just in your home, but anywhere in the world. Liability limits generally start at about $100,000.
Your policy also provides no-fault medical coverage. In the event a friend or neighbor is injured in your home, he or she can simply submit medical bills to your insurance company. This way, expenses are paid without a liability claim being filed against you.
4. Additional living expenses
This pays the additional costs of living away from home if you can’t live there due to damage an insured disaster. It covers living expenses incurred while your home is being rebuilt.