What Does Homeowners Insurance Cover

Homeowners insurance is necessary to protect your most important investment. As such, it is extremely important to understand your homeowners insurance and to know just what your homeowners insurance covers.

Basic Homeowners Insurance

The basic homeowners insurance policy will generally cover the same things no matter the homeowners insurance company you use.

  • Home
  • Liability
  • Loss of use
  • Personal property


Of course, the actual home will be insured against damage done by wind, fire, vandalism, storms, and plumbing/septic problems. There may be other issues involved in this coverage and make sure to always read the fine print and know exactly what is covered and what is not covered on your specific policy.

The personal property that is contained within the home will be included in the homeowners insurance policy. This can include anything of value and there will be a dollar amount of this coverage that is included in the policy. The dollar amount of the coverage should reflect the value of your personal property.

Liability coverage is important because it protects you in case someone is injured while on your property or their property is damaged while on your property. Again, there will be a coverage amount that is included in the policy.

Loss of use of your home because of some sort of terrible disaster is important as it will help you to get back on your feet while your home is being repaired. Loss of use protection will pay your expenses such as hotel stays, etc. while your home is not suitable for occupation.

Liability, loss of use and personal property homeowners insurance protections can provide a varying extent of coverage. You can pay more to increase the dollar amount of coverage for each of these protections in order to tailor your homeowners insurance policy to suit your needs.


Homeowners Insurance Flood Protection

Homeowners insurance flood protection is not generally included on a basic homeowners insurance plan, but can be added as a separate policy. For those in flood zones, the company holding your mortgage will most likely insist on flood protection. Regardless of the requirement, it is a good idea to include flood insurance on your home if you live in a flood zone as flood damage can be incredibly costly due to damage to your home, its foundation and your personal property.


Homeowners Insurance Protection for Other Structures

It depends upon the policy, but some basic policies will also coverage other buildings that are on the property. This includes buildings such as a storage shed, garage and even fencing. Any structure on your property can be insured whether it be an elaborate tree house for your kids or a swimming pool.

You can add this to an existing policy if your erect a building, or increase the dollar amount of coverage if you make improvements to a another building that is on the property. Make sure to correctly appraise how much the additional structures are worth in order to get the proper amount of coverage on your homeowners insurance policy.


Finding the Right Homeowners Insurance

Once you know what needs to be covered and how much homeowners insurance protection you need, then it is time to compare homeowners insurance companies and rates. Comparing both the rates and extent of coverage is important in this comparison, but you also need to make sure you research the companies as well. You need a financially stable homeowners insurance company that will be around to service your claim if the need arises.


Get Your Homeowners Insurance Rate Quotes Right Now

You can begin right now by using our homeowners insurance quote tool to begin gathering up the homeowners insurance quotes you will need in order to find the right policy for you at the right price. In a mater of minutes you can have several quotes at your fingertips and see just how much money you can save.

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