Purchasing home insurance should not be taken lightly. Besides considering the costs involved in insuring your home, you need to make sure your valuables are protected.
Home insurance provides financial protection against disasters affecting your home. A standard policy insures the home itself and the things you keep in it. Whether you are a homeowner, condominium owner, or renter, your insurance coverage will consist of two main parts: property and liability coverage.
Property coverage insures your personal property and dwelling, in the case of owners, from disasters such as fire, windstorm, and theft. For condominium owners, it also provides dwelling coverage for building items that are your responsibility: appliances, fixtures, improvements, etc.
Liability coverage offers protection, including legal fees, from claims made against you or a resident family member for damage to your property (owned or rented) or bodily injury.
The first, personal liability, protects you in the event that you or a resident family member is found responsible for damage to others' property or injuries to people not a part of your household. For example, if the mailman slips on a patch of ice on your driveway and you are found legally responsible, your insurance will cover the damages.
The second type of coverage will pay medical bills of someone injured on your property or by you or a family member away from your property. This is available whether or not you are found legally responsible.
If you have a mortgage, it is likely that your lending institution requires you to have homeowners insurance. They will often post minimum coverage levels, though these usually only cover the house itself, and not necessarily your personal possessions. Give us a call to check that you have adequate coverage.