Homeowner’s Insurance is that safety net that can protect your life’s assets from potential depletion in the event of a disaster or any other unfortunate situation. Instead of shouldering the full financial burden after suffering damage from a hurricane for example, you can turn to your insurance policy which will assist you in replacing items, repairing or rebuilding. This financial protection is extremely important as only a few people would be able to purchase or rebuild a brand new home on their own in the event of a total loss.
Additionally, Homeowner’s Insurance allows you to recover from any unfortunate event that is covered under the policyin a timely manner. With the support and guidance of your insurance company, you would have the resources necessary to greatly assist with repair or rebuild and as such eventually regain normalcy. This also benefits a family psychologically.
We aim to answer some general questions often asked concerning Homeowner’s Insurance.
WHAT IS HOMEOWNER’S INSURANCE?
Homeowner’s Insurance indemnifies the policyholder after his home suffers a loss due to an insured peril such as a natural disaster, fire, flood, theft etc. This provides one with peace of mind knowing that his asset and future are protected. Several homeowner’s insurance policies also provide public liability coverage, protecting you in the event that someone is injured on your property due to your negligence. Of course a limit applies.
WHAT FACTORS AFFECT MY PREMIUM?
There are a number of factors that can affect one’s premium. Firstly your premium is directly related to your sum insured, taking into consideration the type of materials used in construction of walls and roof. Location of your property is also a factor as some properties can be more prone to floods for example compared to others.
WHY DO I NEED HOMEOWNER’S INSURANCE?
Homeowner’s insurance is required if one requires a mortgage/loan in order to purchase the property. Having such a policy, ensures that in the event of any damage, the insurer will assist in the repairing and rebuilding, saving you the policyholder from having to access your own funds, leaving it free, possibly for other investments.
WHAT DOES HOMEOWNER’S INSURANCE COVER?
Major Risks
Unless specifically stated, homeowner’s insurance protects one from natural disasters such as hurricanes, earthquakes, floods in addition to fires and malicious damage to name a few. If the walls of your home were damaged by an earthquake, your homeowner’s insurance would assist with repairs or rebuilding.
Other Structures
Several other structures are also covered by homeowner’s insurance. Your shed, garage, surrounding walls and gate are usually covered by this policy once declared to the insurer, making it easier for you to get back to normalcy after any unfortunate event.
Public Liability: Many homeowner’s insurance policies also provide public liability coverage, further safeguarding you the policyholder. If a visitor was to trip and fall on your property, say due to a loose tile on your floor, sustaining injuries to his legs, the public liability cover would pay his medical bills etc. You would therefore not have to fund such expenses from your personal savings.
Contents
Your homeowner’s policy will also offer the option to have your contents insured. A list should be prepared detailing the items to be insured along with their serial numbers. Based on the total value of such items, a premium will be calculated and added to your homeowner’s premium. This is usually a minimal amount that will allow you to have your furniture and appliances replaced or repaired in the event of any disaster.
Should you require further information, please visit here or contact us on 285-GULF.
