What is homeowners insurance and why do I need it?

•Homeowners Insurance Coverages Explained

•Types Of Home Insurance

•Is Homeowners Insurance Required

•Homeowners Insurance Reviews

 

What Is Homeowners insurance?

Homeowners insurance helps pay for the repair or replacement of your house and personal belongings in case they get damaged. And what kinds of situations does homeowners insurance come in handy. Well, think of fire lightning, strikes, hail wind storms, frozen pipes, burglaries and vandalism. It may also cover cops if you accidentally damage someone else's property or if someone gets injured on your property, the cost associated with it.Juries would be medical bills, loss of income and legal fees, Homeowners Insurance. Also has coverage for an additional living expenses in case your home become. So uninhabitable that you need to live somewhere else and you incur extra cost by doing so, homeowners insurance doesn't cover floods and earthquakes and you need to buy those policies separately. It also doesn't cover maintenance related problems because as a homeowner, you should be doing maintenance and repairs on an ongoing basis. 

Homeowners insurance isn't required by law. But if you have a mortgage, your lender will require it because your house is the collateral for the lump. They want to make sure the house is financially protected from major damages. Because what if you cannot afford to rebuild the house, the average annual premium was 1249 dollars in 2018, according to the insurance information Institute. Even if your home is fully paid off. 

Do you really want to risk paying several thousand dollars or even tens of? Is of dollars for damages out of your own pocket. Just so you can avoid paying $100 a month for homeowners insurance. The cost of homeowners insurance, depends on your coverages and limits your home, the square footage, the distance from the closest fire department and fire hydrant, whether you have any security devices, the value of your personal belongings and whether you've made claims in the past for the valley of your personal belongings, specifically, your insurance agent is simply going to use an average. Age estimate for that value.

I recommend that you actually make a home, Inventory of all your personal belongings and you can either do this in Excel or you can use a smartphone app that lets you take pictures of all your stuff and the room that they belong in. Because that way, if you ever need to make a claim, you have photos as a backup for evidence as for the other coverages speak to an insurance agent, for the right amount of coverage for your needs. Thank you for watching and I hope this helps you and your home buying Journey.