Before attempting to find the best homeowners insurance coverage you
should make sure that you are familiar with what homeowners insurance is and what
it can do for you. A standard policy provides financial coverage to your house and
the property within the house. Natural disasters, theft and other maladies that
can occur are usually covered in your policy. Some exceptions include flood and
earthquake protection, which require additional coverage.
The amount of house insurance you may require is based on four criterias:
Home structure, personal property, liability for none occupants and some additional
costs associated with repairs to your home.
– Always make sure you obtain enough insurance to cover the cost incurred
to rebuild your current home at today's market prices in the event a natural disaster
should take place. You don't really need to include the cost of the land and you
shouldn't base the amount on the price you paid for your house as the cost of rebuilding
– As much as you value your personal possessions many insurance policies
will only provide coverage between 50% and 70% based on your current homeowners
insurance coverage. You play a big part in making sure your property is properly
covered so make sure to do an inventory listing all of your possessions. Try to
be as detailed as possible, after all this is your property and you deserve to be
reimbursed if anything bas happens. You'll have to be careful in this area. If you
own expensive jewelry or furs then you should seek out additional coverage through
a floater or endorsement policy. In most cases an insurance company will only compensate
you $1000 to $2000 for jewelry or furs that are stolen or lost in a fire.
- This part of your homeowners insurance coverage provides protection
for you against lawsuits for bodily injury or property damage that you or family
members cause to other people. It also pays for damage caused by pets. It pays for
both the cost of defending you in court and for any damages a court rules you must
pay. Although many insurance companies provide $100,000 worth of coverage, it's
a good idea to increase that amount to $300,000 or more.
- This pays the additional costs of temporarily living away from your
home if you can't live in it due to a fire, severe storm or other insured disaster.
It covers hotel bills, restaurant meals and other living expenses incurred while
your home is being rebuilt. If you live in an area with a high propensity of natural
disasters then you definitely want to make sure you're adequately covered here.