Homeowners insurance is a kind of property insurance which covers private homes. It provides financial protection in the instance of theft, accident, or disaster that involves your residence.

Structural damage

It’s one of the main differences with homeowners versus renter’s insurance. In the instance that your house suffers damage from vandalism, theft, or is destroyed by disasters like windstorms, fire, lightning, hail, or explosions, homeowner’s insurance will cover the expenses of rebuilding or repairing it.

The mortgage lender may refer to this as hazard insurance, yet do not let that trip you up. It is just part of the homeowner’s policy.

Personal possessions

Personal possessions that are destroyed by an included disaster on your policy, damaged, or stolen are usually covered.

Your coverage level for personal possessions generally will be a percentage of your property’s insured value. Therefore, if your house is insured up to $100,000, and personal possession coverage amount was 50% of this, the limitation would be $50,000. The percentage used varies from one policy to another.

The homeowner’s insurance policy also will cover possessions that are not inside your house but included on your property: shrubs, trees, patio furniture, BBQ grills, etc.

In a standard policy, high-value belongings, like furs, jewelry, antiques, and artwork usually are covered. There are assigned dollar limitations; therefore, you will need to read all of the fine print.

Liability protection

Such protection covers suits against bodily injury or property damage family members, you, or pets might cause to others. Liability protection covers all court expenses and all awards you might need to pay in court.

ALE (Additional living expenses)

Let us say that your house burns down, and it now is uninhabitable. While the house is being rebuilt, you will have to live somewhere else for a brief time. ALE covers all living away from home expenses and eases the stress of being uprooted temporarily. Those costs might include meals at restaurants, lodging, storage charges, and other expenses incurred while your house is being rebuilt.

For more information about our homeowner’s insurance Steely and Smith Insurance today!