For so many people out there, buying a home and the corresponding ownership of it is one of the biggest and most important investments in an entire lifetime. It’s not like buying a car or new computer where you get to decide after just a couple of days. It’s also something you need to protect. To do this, you need to seriously consider buying home insurance.
But while it’s safe to bet that many homeowners already understand the very purpose of a home insurance, not everyone knows a lot about the specifics. This is particularly true when it comes to being aware what the insurance policy really covers.
So, if you’re just about to purchase insurance for your home, make sure it covers the following things if unforeseen loss happens.
1 – Accidental Flooding
What this home insurance coverage focuses on is the overflow of water coming from certain things at home, like the plumbing and heating systems, as well as appliances like AC units and hot water heater; this even includes the fire sprinkler system. One common example is when your water heater leaks and it floods your basement, leading to water damage to your carpets and floors. In this example, your home insurance should cover the damage. But you do have to be reminded that certain water damages in your home caused by flooding may not be covered, too.
2 – Fire
In the United States, it is estimated that $15 billion of private property is lost to fire each year. This only means that as a homeowner, you have to be prepared for a scenario like this. The good news is that majority of homeowners insurance will cover your property if it is damaged in a fire. But the guarantee of coverage doesn’t mean you no longer have to be careful enough.
3 – Theft
Also, keep in mind that even if your home is equipped with a sophisticated security system, it always will be a target of burglary or theft. The good news with having a home security system though is that you may be qualified to get a home insurance discount.
4 – Vandalism
Lastly, even if you feel like your neighborhood is peaceful and quiet, there always will be instances of vandalism. It can be because of the presence of gangs and bad elements in the surrounding neighborhood or simply kids who think it’s fun to vandalize other properties. With this in mind, it makes perfect sense to buy a home insurance policy that covers a vandalized property, whether it’s a small or major one, causing aesthetic damage to your home in the process. But in the event that your home is vandalized and you have your insurance policy to cover it, you still have to file a police report because that paperwork will be used in the claims process.