Homeowners Insurance Quotes

Homeowner's Insurance offers protection for you and your home against many common perils like fire, theft, vandalism, wind damage, hail damage, water damage (non-flood), riots, and explosions. A typical Homeowner's policy covers:

• The dwelling/structure (including attached garage). Unattached structures (garages, tool sheds, swimming pools) may or may not be covered, depending on the policy.
• Personal property, like furniture, clothing, and appliances, up to a certain predetermined limit. Most policies also cover theft or damage to personal property away from home.
• Personal liability for accidents that occur on your property, or that are caused off your property by your family members or pets.
• Temporary living expenses (loss of use) should you have to live elsewhere while your home is repaired.

Premiums are based on many factors, including the number of claims in your area (high-the crime areas usually cost more), your own claim history, the value of your home, the amount of your deductible, special risk factors (like pools and trampolines), your credit history, and any fire/theft safety measures you've taken or installed.

What Homeowners Insurance Is Not

Homeowner's Insurance falls under the broad category of property and casualty insurance, not life and health insurance.

It differs from other forms of personal property insurance like Condominium Insurance and Renter's Insurance. Homeowner's policies are not designed to cover business or rental properties. If you are using your home for business, however, or are renting part of it out, you might want to consider carrying more liability coverage, since you have a greater exposure to injuries on your property, and the lawsuits that follow them.

Who Needs Homeowners Insurance?

Most banks and lending institutions require proof of Homeowner's Insurance before they'll issue a mortgage. Homeowner's Insurance is such a basic form of insurance that it is recommended for all those who own homes, even those whose mortgages are paid in full.

Things To Think About

As stated above, banks and lending institutions usually require proof of Homeowner's Insurance before issuing a mortgage. The amount they require may only cover the structure itself, not your personal belongings, so consider their requirement a bare minimum.

You'll have to decide if you want to insure for the actual cash value or the replacement cost of your home and possessions. If your television is five years old, it'll cost a lot more to replace it than what it's actually worth. Replacement cost policies typically cost more.

Depending on your situation, you may want to purchase flood or earthquake insurance, as most standard Homeowner's policies don't cover these disasters. You might also want an additional rider to cover especially valuable items like jewelry, antiques, stamp or coin collections, cameras, or electronic equipment.

It's a good idea to keep receipts of all major purchases and an inventory of all your possessions (a hard copy list and pictures or videotape) in a safety deposit box. Be sure to record serial numbers and any other identifying information. This will help determine how much homeowner insurance you need, and will simplify the process if you ever have to make a claim.

Also, you should periodically review your homeowner insurance coverage to account for inflation and for any additions, renovations, or upgrades you've made to your home.

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