| What is Homeowners Insurance? A home owner’s policy is a package policy combining named perils that have or can have certain limitations and exclusions to protect your Home and Contents against Fire, Windstorm, Hurricane, Hail, Theft, Personal Liability, etc. etc. Home owners Insurance is a very important insurance to have as a home owner. You should insure your home for 100% of its value (including its contents) with a replacement cost policy. Then, if your house costs $100,000 to rebuild from the ground up, that's what the insurance would pay in the event of a total loss*. Likewise, if shingles are blown off the roof or cabinets are damaged by fire, no depreciation would be deducted even if the damaged property is used and worn*. Some forms of property, such as fences, and swimming pools, are usually settled at cash value. So is personal property such as appliances, furniture and clothing, unless you specifically purchase replacement cost insurance. Another thing to consider as a homeowner is accidents that happen on your property. Homeowners Insurance can help with those situations too. There is a section in your homeowner’s policy that includes coverage to pay medical expenses for persons accidentally injured on your property regardless of fault*. Don’t leave yourself out in the cold if something happens to your home, purchase Homeowners Insurance. |
