Insurance 101 – Homeowners Coverages

your home is your most valuable investment so it only makes sense to protect that investment with insurance well it sounds simple homeowners insurance can create more questions than answers let’s break down the coverages the standard homeowners policy is divided into two sections property coverages and liability coverages let’s start by taking a closer look at section one property coverages coverage a Wehling provides protection for your home and the structures attached to your home coverage B other structures covers the structures other than your home located on your property such as a detached garage or shed coverage C personal property covers the contents of your home such as furniture appliances clothing and toys coverage D loss of use provides coverage for your additional living expenses when you have lost use of your home for example if you have to vacate your home due to damage from a covered loss such as a fire or tornado this coverage will pay for the additional cost of a hotel or other temporary living expenses you would not normally have until the damage to your home can be repaired one important note about homeowners insurance not all causes of loss are covered such as floods homeowner policies are designed to provide coverage for exposures that most homeowners will incur this helps to keep the cost of insurance affordable not everyone lives in an area where flooding is a risk if you do you might be able to purchase a separate policy to provide coverage and your independent insurance agent can help with that now let’s take a look at section 2 of the homeowners policy liability coverage section 2 includes two coverages personal liability and medical payments to others personal liability provides coverage when you are legally liable for bodily injury or property damage to others it also covers injury or damages to others caused by any relative living with you let’s say you’re having a cookout and one of your guests is accidentally injured on your property for example they fall due to a broken step at your door your guests could decide to sue you for the injuries received because of your neglect that’s when your homeowners policies liability coverage would come into play to defend you against lawsuits and help pay for expenses associated with those lawsuits the second liability coverage provided in your homeowners policy is medical payments which covers medical bills incurred by invited people who are injured on your property or as a result of your personal activities remember you’re injured cookout guests medical payments coverage would help cover the cast and stitches they receive due to their injuries we understand the details of insurance can be confusing this video is just a short overview of the primary coverage is provided by a standard homeowners insurance policy just like every home is different so is every insurance policy the most important thing to remember is your policy should protect your needs to ask questions and learn more about what coverages you need contact your local independent insurance agent right away

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