When you are deciding on which homeowners insurance policy to purchase, it is important to understand what is and is not covered. Most policies have a standard list of coverages, but there may be some things that are not included. For example, damage caused by floods or earthquakes is often not covered. So, for these types of disasters, you may need to purchase additional coverage.
However, there are usually exclusions for certain types of damage, so be sure to read your policy carefully. Typically, homeowners insurance policies are designed to protect your home and its contents from damage in a variety of potential situations, such as fire, theft, and vandalism.
What is a homeowners insurance policy?
A homeowners insurance policy is a type of insurance that provides coverage for damage to or loss of a homeowner’s property. Homeowners policies can also include personal liability coverage, which protects the policyholder from being held liable for any injuries or damages that occur on their property.
Your policy can also cover the items inside your home with contents insurance. For example, if there’s an unexpected flood or fire where your items get destroyed, contents insurance will help with the cost to rebuild. It can also provide compensation in case of theft or burglary.
Homeowners policies vary in terms of the amount of coverage they provide, and they can be customized to fit the specific needs of each individual policyholder.
What is NOT covered by house insurance?
Earthquakes and Water Damage
Water damage and earthquakes are both covered under homeowner’s insurance policies, but the two events are often treated very differently. Earthquakes are a natural disaster, they are typically not covered by standard homeowner’s insurance policies. However, most policies do include an endorsement that provides coverage for earthquakes, for an additional premium. By doing this, you’ll be covered for damages not only from earthquakes and floods, but also other events that could cause water damage, such as burst pipes or backed-up drains.
Maintenance Issues from Neglect
Taking care of your home can keep you from having to pay for costly repairs, which your homeowners insurance might not cover. Many things that are not covered under your standard policy are typically caused by neglect and a failure to properly maintain the property. Normal “wear and tear” or damage caused by the property owner’s own negligence will not be covered. For example, a faulty roof or a burst pipe are not typically covered by your policy. Damage caused by smog or smoke from industrial or agricultural operations are also not covered.
Home Office and Professional Equipment
Home insurance policies generally do not cover business-related equipment and property. If you are using your home as a base of operations for your business, or if you have any valuable tools or equipment used in your business, you need to make sure that you have the appropriate business insurance coverage. You may need to purchase additional coverage or a separate policy to protect your business equipment.
Looking For a Home Insurance Policy?
A good home insurance policy is essential to ensuring you and your home are protected. Not all policies are created the same, that’s why it’s important to do your research to make sure your home insurance suits your needs. At the Ingram Mortgage Group, we partner with Nuera Insurance, an insurance company that allows you to shop for coverage completely online. If you’re looking to purchase home insurance without the stress, get started on a home insurance quote!