What Does Homeowners Insurance Mean?
Homeowners insurance is a form of property insurance that covers any losses or damages to your estate, including furniture and all other assets tied to it. The insurance also provides liability coverage against accidents on the property, which, fortunately, means injuries arising on your property can be claimed as well. Most homeowners insurance policies in the U.S. exclude coverage for acts of God or war but cover hurricane and tornado events.
When you are covered by homeowners insurance, you have the assurance that should anything happen to your property, you will remain financially whole in the aftermath. While many homeowners may ask the question “Why should I buy property insurance?”, you never know when something disastrous might happen. A tree could fall in the backyard, or there could be a car crash at the doorstep. If you have property insurance, the damage to your home and the clean-up would be paid for whether in part or in full, thus putting your home back in the shape it was before. Sometimes homeowners are even left with an unexpected chunk of extra change that they can spend in other areas.
You should consider homeowners insurance whenever you place a large stake in a property. For example, if you are relying on a constant income stream from tenants, it would be devastating if an accident happens there. It would force you to fork out a disproportionate amount of your own money to pay for repairs, or worse, ask your tenants to pay. In the process, you may lose your tenants and your income. An outcome that could have been avoided with homeowners insurance. That said, picking up homeowners insurance is strongly advised for anyone who owns the expensive property, in some U.S states you might even be forced by the law to pick it up.
It depends. All you need to do is give all the necessary information about yourself and your residence to your insurer, only then can he give you a quote and close the deal with you. Some insurers might ask for a physical home inspection, which would delay the process. On the other hand, having documents like your current policy declarations page and mortgage contract on hand can accelerate it