Who Is It For?

Anyone who owns their own home and lives in it needs a homeowners policy. If you own a home that you rent out or if you rent the home you live in, you need different types of insurance policies.

How Does It Work?

A homeowners policy covers your home and your personal property against damage and loss from certain types of perils. Most homeowners’ policies include coverage for damage done by wind, hail, and fire, as well as losses that occur due to theft. Policies also protect you against personal liability for things such as injuries caused to others on your property. If you have a covered loss, you must make a claim with your insurer, which will then determine the amount of reimbursement you are entitled to minus the deductible you owe. Depending on your policy, you may receive one check or you may get your actual repairs paid for in increments. The policy also may pay for you to live somewhere else if your home is uninhabitable. In cases of personal liability, your policy may pay for an attorney.

Homeowners’ policies are fairly standard when it comes to what they cover and what they don’t cover, although a homeowner can get different endorsements to cover things that might not normally be covered. Policies also can differ in coverage across different regions of the country depending on different weather conditions.

The main benefit of home insurance is insuring your home against loss, protecting both your main asset and your place of residence. An additional benefit is the personal liability protection that such policies provide for you.