If you ever asked yourself do you need a home insurance, here you will find an answer. Well, the best way to open this topic is with a saying Better safe than sorry. This is definitely something that should be on the top of your list of priorities. Important to realize is that home insurance is not something you are getting every day. This is one type of investment, and you need to think this through very carefully. Even if you are not thinking about that every day, and you are probably thinking it will never happen to you, you should ask yourself what will you do in case of an accident or disaster, God forbid? Well, there are definitely prevention measures you can take in order to secure yourself in situations like this. Let’s see why you should consider having home insurance.
What you need to know about home insurance
Owning a home insurance is not an unusual thing. It is pretty common as it is the best way to have a peaceful life and stay relaxed even when circumstances are not in your favor. Many families across the USA, especially in areas where natural disasters are common, already have purchased this type of insurance. Home insurance is becoming a regular part of a monthly budget for many people, and it is definitely you should consider.
But what you need to know is that home insurance is not applicable only in natural disaster situations. Your house can suffer a lot of damage from fire, and you need to have a prepared action plan in that case. This can happen due to the human mistake or unfortunate case of events. Either way, you need to ensure that you know who to call and what to do if this happens.
It is important to realize that if you decide to purchase home insurance, you will be able to choose which items will you secure. You probably have some belongings that would be more expensive to secure than to fix or buy new ones. That is why you need to be smart about the type of home insurance you will choose. In case you are not sure which type is most suitable for you, you can always ask the insurance company’s representative to help you with the choice. Not only they know all the details of every single insurance type, but they have an extensive experience that is making them the perfect advisors.
And if you end up failing to get the right insurance, there is no need to worry. Public insurance adjusters like A-Z Claims Adjusters cover a variety of property damage insurance claims, depending on the type of property and items you want to receive financial compensation for.
Which types of home insurance are available?
Home insurance is also known as Homeowners insurance, and there are eight typical types of it. Each of these types is covering different types of properties and varieties of perils. Depending on your needs, you will be able to choose the most suitable one. Even though these insurance policies are premade, almost every insurance agency has a tailor-made option. So you do not need to worry that you will be forced to pay extra for something you do not want. In the end, it is all about the customer, and these companies are well aware of it. Now we will go through the most common home insurance forms.
HO-1 – Basic
This is the basic form that will give financial security in case of following perils:
- Hail and windstorms
- Theft and Vandalism
- Damages from aircraft and vehicles
- Volcanic eruptions
What is important to emphasize is that this type usually do not cover your belongings, so if you want to secure them as well, you will need to pay extra or to get one more insurance policy just for those.
HO-2 – Board
This insurance form covers all items from HO-1 plus additional perils such as ice, falling objects, and overflows. More importantly, this form covers all your belongings as well.
HO-3 – Special
This is the form that most people are taking. And for a good reason. there are few variations, but generally, it protects from all perils unless there is some specifically excluded. In addition to that, it covers your home, all attached structures such as a garage and deck, your belongings, and your personal liability. So if you choose this form, make sure it doesn’t specifically exclude something you want to cover. If there is no such clause in the contract, you are good.
HO-4 – Tenant’s
If you are renting a home, this is an insurance for you as it covers only your belongings and personal liability. When it comes to perils, all from HO-2 are included here.
HO-5 – Comprehensive
This is an open peril form just like HO-3 for your home coverage. Speaking about coverage of your belongings, this form is way wider than the HO-3 policy, but it is more expensive as well. Just pay attention to excluding clause as you want to be sure that you have covered all you want.
HO-6 – Condo
It is an insurance form specifically premade for condo owners. It will cover your personal belongings plus walls, floor, and ceiling.
HO-7 – Mobile Home
This is a specific type of HO-3 form that covers manufactured and mobile homes.
HO-8 – Older Home
Older homes must have additional security as they are more easily to damage in case of an accident. This is why there is a special form for such properties. It covers everything from the HO-3, but with some additions. It is a most common for registered landmarks and historic homes.
In the end, it is all about prevention. Before you get a home insurance, learn which are the most usual perils specifical for your area of living. For an example, if you live in Miami, you should know how to protect your Miami home from a hurricane. If you combine prevention measures with a home insurance, you can be sure that nothing can’t surprise you.