Home Insurance Basics

Home Insurance Basics

Having a home insurance claim and finding out you are not adequately covered can be nightmare. Even experienced homeowners can stumble when it comes to knowing their home insurance coverage. See below for a quick explanation of coverages and talk to an experienced insurance agent about your home insurance policy and its coverages and limits.

Dwelling Coverage

Dwelling coverage is the portion of your home insurance policy that pertains to the cost of rebuilding and repairing your home in the event that it is damaged or destroyed in a covered peril such as wind, hail, lightning, or fire. First, know what type of perils your policy covers. Secondly, know the amount of dwelling coverage that you purchased, which should equal the cost of rebuilding your home in the event of a complete loss. Do not confuse this amount with the market value of your home, which includes the value of your land. In the event of a disaster, you will not lose your land, only the building that stands on it. The rebuilding cost, on the other hand, must account for local construction and materials costs.

Other Structures Coverage

Other Structures protection protects sheds, detached garages, and fences from covered events. Typically, coverage limits are set at 10% of the amount of dwelling coverage, but you can purchase more protection if necessary.

Personal Property Coverage

Personal Property coverage protects your possessions, such as electronics, clothing, and furniture, in case they are stolen or destroyed by a covered peril. Know your dwelling coverage limit. Coverage is often limited for certain high-value items such as jewelry but can be covered fully by scheduling an endorsement to your policy.

Personal Liability Protection

What happens if someone gets injured in or around your house? Personal Liability protection helps if someone sues after being hurt on your property or suffers property damage because of an event caused by you or a member of your household. It can pay for your legal defense and for any settlement or award in the lawsuit, up to your coverage limits. You also can be protected from injuries caused by your pets.

Loss of Use Coverage

Loss of Use coverage kicks in if your house becomes uninhabitable because of a covered event. While it is being repaired or replaced, this coverage helps with your living expenses, including hotel and restaurant bills.

Medical Payments Coverage

Medical Payments coverage helps if you are responsible for the injuries of someone who does not want to sue. It can pay medical expenses up to your coverage limit.
Know your home insurance coverage and limits now before you suffer a loss. Finding out after a claim that you are not adequately covered could be financially and emotionally painful.

About Steve Cogoni

Steve Cogoni is an experienced senior insurance agent with SmartLife Insurance, which has the largest selection of auto, home and life insurance carriers in Florida and is located inside the Port St. Lucie Walmart.
Contact me at Steve.Cogoni@SmartLife-Insurance.com or (772) 877-8488 and I will be happy to help you with your insurance assessments and needs. www.SmartLife-Insurance.com

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