Regardless of what type of home you plan to buy or where it’s located, it’s a sound idea to remember that bad things can happen to good people. Fires, thefts, floods, earthquakes, mud slides and the like aren’t tragedies that you expect will ever happen to you, but the plain fact is that they can. Knowing this, isn’t it necessary to protect the major investment you have in your home and property? Absolutely!
Home owner’s insurance does precisely that. It is available from underwriters large and small in a very-wide variety of coverage options to suit any owner. It is not for renters, however. Their concern is more for their personal property inside the rented residence while insurance coverage on the building itself is the landlord’s responsibility. There are separate “Tenant’s Policies” to cover renters.
The best recommendation for the new home owner seeking home owner’s insurance is to work with an experienced agent who is competent to help you assess your needs and options and clear up any confusion that you have about these policies and their costs. The agent will begin by determining how much your home is worth and what the value is for all the personal possessions you have inside. These are the things you’ll want protected from any unexpected catastrophic occurrences. A good insurance agent is more than a salesman, he is a consultant who will put your best interests ahead of the sale and, by doing so, will probably make the sale.
The first area of protection you will need is liability insurance. This covers you for medical costs and damages if a visitor slips and falls or your dog bites a neighbor’s child or the mailman. It might also cover events like a tree in your yard falling on the neighbor’s house or garage during a storm. Second, you’ll want casualty coverage which protects you if your property is damaged or destroyed by fire, weather, theft, vandalism or other losses. Garages or other outbuildings will be covered as well as the home itself. Be certain to find out what, if anything, is excluded so you won’t get an unpleasant surprise later.
The next important step is to discuss home owner’s insurance options like personal property coverage for your possessions inside your home. Look at this coverage closely. Usually, 100% of the value is not covered. And you may need special coverage for costly items like jewelry, coin collections or antiques. If the agent’s worth his salt, he’ll be happy to discuss every type of coverage and point out any pitfalls along he way.