Homeowner details can make up a long list, but insurance is usually at the top. For most of us, the home is where the heart is. It is also meant to be a place of security and comfort, a haven from the outside world and work, and a place to lay our heads down at night safely. Aside from other real estate or storage areas, the home usually holds most of our worldly possessions too. The structure is a significant asset itself though—and if you have just purchased a home or had one built, it may be one of the biggest investments you ever make. Protecting it is key, and to do so you need good homeowner’s insurance.
Your insurance agent probably led you through the details of your policy upon purchasing it, but you may have found yourself signing on the dotted line without completely understanding some of the key points. Following are five things you should understand about your homeowner’s insurance policy:
- It will be required by your mortgage lender – unless you have purchased your home outright, or have paid it off, homeowner’s insurance will be a necessity before you can close on your home.
- Dwelling coverage – this usually covers any damage that occurs to the home, to include other structures on the property as well as the garage area of the residence. This coverage should mean that you have more than enough to pay for construction costs in rebuilding the home if necessary. While valuing the real estate is important, it is critical to consider this coverage in terms of the actual math for doing a rebuild.
- Personal property coverage – covering the contents of your home, this part of the insurance kicks in whether your possessions are damaged or lost due to an unfortunate issue such as a burglary. There may be limits on typical items like jewelry, guns, collectibles, and more though.
- Liability and medical payments – while this may be one of the items you think about least for homeowners, it is a standard but critical part of your policy. This coverage protects you if someone were to hurt themselves on your property (in a slip and fall accident, for example), as well as paying for medical expenses.
- Extra coverages may be required – in California especially, be aware that earthquake and flood insurance are not provided in the standard policy, along with coverage for other disasters like landslides or environmental issues. These types of coverage must be purchased additionally, and often there are state plans available for items like flood insurance.
If you need help reviewing your insurance policy, or if you suspect your insurance company may be denying your claim in bad faith, contact the attorneys at the Bolender Law Firm. If a dispute over a claim cannot be easily resolved through a call or written communication, our attorneys will advocate on behalf of policyholders through litigation, arbitration, or non-binding mediation. Our attorneys are experienced in representing clients in state and federal courts, at both the trial and appellate level. Call us at 310-320-0725 now or submit an easy consultation request online. We are here to help!