Home Insurance

 A standard homeowners insurance policy includes four essential types of coverages:

1. Coverage for the structure of the home – pays to repair or rebuild a home if it is damaged or destroyed by fire, hurricane, hail, lightning or other disaster listed in the policy. Most standard policies also cover structures that are not attached to a house such as a garage, gazebo, or tool shed.
2. Coverage for personal belongings – pays for furniture, clothes, sports equipment, and other personal items, if they are stolen or destroyed by fire, hurricane, or other disaster listed in the policy. Most companies provide coverage for 50 to 70 percent of the amount of insurance on the structure of a home. Expensive items like jewelry, furs and silverware are covered, but there are usually dollar limits if they are stolen. To insure these items to their full value, individuals can purchase a special personal property endorsement or floater and insure the item for its appraised value. Trees, plants and scrubs are also covered under standard homeowners insurance—generally up to about $500 per item. Perils covered are theft, fire, lightning, explosion, vandalism, riot and even falling aircraft. They are not covered for damage by wind or disease.
3. Liability Protection – covers against lawsuits for bodily injury or property damage that insureds or family members cause to other people.
4. Additional living expenses – pays the additional costs of living away from home if a house is inhabitable due to damage from a fire, storm, or other insured disaster.