Purchasing a homeowner's insurance policy allows the homeowner to recover his losses should an unexpected event occur that causes the home to be damaged or destroyed. There are various levels of homeowners' insurance coverage available that homeowners have to choose from. A standard homeowner's insurance policy is usually the least expensive and these are the different things this type of policy covers.
Structure Coverage
Structure coverage pays to cover the cost of repairing or rebuilding the home if it is damaged or destroyed by fire, lightning, hail, hurricane, or any other disasters included in the policy. Structure coverage also covers to repair or rebuild any other structures on the property, such as a garage, outbuilding, tool shed or gazebo. However, this coverage does not normally pay for damage caused by a flood or earthquake. Most insurance companies offer add-on coverage for these.
Personal Belonging Coverage
Standard homeowners insurance also covers the cost of some personal belongings should they be stolen or damaged or destroyed by fire, hurricane, or other disaster included in the policy. This may include clothing, furniture, electronics, lawn equipment, jewelry, and all personal belongings the homeowner wishes to have covered.
Another good benefit of this type of coverage is that personal belongings are covered even if they are off the homeowner's property. For instance, if the homeowner is wearing an expensive piece of jewelry that is stolen at a public place, it will still be covered by the insurance policy. However, personal belonging coverage normally covers only a certain amount for each item even if it appraises for a higher amount. To have coverage for an appraised amount, a special endorsement can be purchased to add-on to the policy.
Liability Coverage
Liability coverage is also normally included in a standard homeowner's insurance policy. Liability protection means that if someone suffers bodily harm or property damage at the hands of the homeowner, his family member, or his pet, the cost of the damages will be covered. Liability covers these costs if they happen on the homeowner's property or anywhere else in the world. It also covers the court costs should the homeowner be taken to court for such an incident.
If, due to a covered type of disaster, the homeowner and their family must live in a hotel or rented home while his home is being repaired or rebuilt, this cost is covered as well. This is considered additional living expenses and includes hotel or rental bills, the cost of daily meals, and all extra living expenses that are inquired due to the damage to the home caused by the disaster.
The best way to know what you need for your homeowner's insurance is to talk to a professional. Consider contacting a service like Illinois Insurance Center Inc today.
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