Homeowners Insurance – How To Protect Your Family And Property

If you still owe money on your home, then you need to get homeowners insurance to protect yourself and the lender. You still need to carry insurance to protect yourself financially even if your home is paid for. Buying a house is one of the biggest purchases you will make in this lifetime. It is important to protect your investment by knowing the ins and out of your homeowners' policy. Read on to find out how to protect your family and property.

Protect You From Lawsuits

Liability coverage protects you and your family. It protects against lawsuits for property damage and incidents involving bodily harm. This coverage also protects against any damage done to your neighbors caused by your pet. However, it does not pay for damages your pet does to your property.

The liability part of your homeowners' policy pays for the cost of a lawyer and any awards rewarded by the court. It pays up to the limit stated in your policy. A homeowners' policy gives you a basic limit of $300,000, but you can increase it.

Protect Against Fires, Theft, and Natural Disasters

Theft, fires, and natural disasters can occur at any time and destroy your property. A homeowners' policy provides you with a safety net if these situations occur. It covers your furniture, clothing, sports equipment, and any other personal items. This policy even protects belongings not on your property.

Expensive items like jewelry, collectibles, furs, art, and silverware are covered, but there are limits. You will not get the full value if stolen. If you want to cover expensive items for full value, then you should add a special personal property endorsement. A special personal property endorsement allows you to insure expensive items for the appraised value.

If a power surge damages your electronics, then this is not covered by your insurance. This is something covered by a special personal property endorsement. It gives you additional insurance to more effectively protect your valuables.

Pays For Damage To The Structure Of Your House

A homeowners' policy pays to rebuild or repair your home when damaged by natural disasters. These natural disasters include lightning, fire, hurricanes, and hail. It does not include damage by earthquakes, floods, or regular wear and tear. When purchasing coverage, you should get enough to rebuild your house.

Homeowners need insurance because it saves them money. Insurance protects you from costly lawsuits, pays for weather and fire damages, and pays for losses caused by theft. For more information, contact an agency like Family Insurance Centers.