Homeowners Insurance: The Basics

Homeowners Insurance: The Basics

A binding, legal contract between the insured and A binding, legal contract between the insured and the insurer to protect the insured, their home, and the insurer to protect the insured, their home, and belongings if they are damaged or destroyedbelongings if they are damaged or destroyed

A home can be a condominium, apartment, house, A home can be a condominium, apartment, house, or mobile homeor mobile home

Protection is provided against losses caused by fire, Protection is provided against losses caused by fire, water damage, storm, theft, and other perilswater damage, storm, theft, and other perils

Perils are any cause of lossPerils are any cause of loss

Homeowners Insurance: The Basics

Homeowners policies also protect anyone named in Homeowners policies also protect anyone named in the policy including:the policy including:

spousespouse

childrenchildren

other residentsother residents

guestsguests

Also covers detached structures such as:Also covers detached structures such as:

garagesgarages

shedssheds

poolspools

Homeowners Insurance: The Basics

Items that are excluded or limited on a Items that are excluded or limited on a Homeowners PolicyHomeowners Policy

Items that tend to result in liability claims such as Items that tend to result in liability claims such as boats and ATV’sboats and ATV’s

One-of-a kind items such as jewelry, art and One-of-a kind items such as jewelry, art and collectionscollections

The insurer can opt to purchase an endorsement The insurer can opt to purchase an endorsement that covers unique items or special circumstancesthat covers unique items or special circumstances

Certain natural disasters in areas prone to them are Certain natural disasters in areas prone to them are also excluded from standard coveragealso excluded from standard coverage

Renters Insurance

Renters insurance protects individuals who live in a Renters insurance protects individuals who live in a house, mobile home, condominium, or apartment house, mobile home, condominium, or apartment that is owned by another personthat is owned by another person

Protects against:Protects against:

• TheftTheft

• Loss of personal propertyLoss of personal property

• Loss of useLoss of use

• Similar to homeowners insurance except that it Similar to homeowners insurance except that it does not cover the dwellingdoes not cover the dwelling

Renters Insurance

Renters Insurance Covers:Renters Insurance Covers:

•Personal possessions such as furniture, CDs, Personal possessions such as furniture, CDs, electronics and clothingelectronics and clothing

•Loss of useLoss of use

•Medical paymentsMedical payments

Renters Insurance does not cover:Renters Insurance does not cover:

•Structural damage caused by carelessness such as Structural damage caused by carelessness such as damage by animalsdamage by animals

How to Reduce Risk

You can protect yourself against a loss by You can protect yourself against a loss by following basic guidelinesfollowing basic guidelines

Develop good security habitsDevelop good security habits

Lock your doorsLock your doors

Install deadboltsInstall deadbolts

Don’t let your house look vacantDon’t let your house look vacant

Homeowners Insurance: The Basics

You can protect yourself against a loss by You can protect yourself against a loss by following basic guidelinesfollowing basic guidelines

Reduce Water DamageReduce Water Damage

Check the pipes in your houseCheck the pipes in your house

When you go away have someone watch When you go away have someone watch over your houseover your house

Turn off the taps to your washerTurn off the taps to your washer

Homeowners Insurance: The Basics

You can protect yourself against a loss by You can protect yourself against a loss by following basic guidelinesfollowing basic guidelines

Reduce Fire RisksReduce Fire Risks

Install and maintain fire alarmsInstall and maintain fire alarms

Have an electrician examine your electrical Have an electrician examine your electrical systemssystems

Unplug heat producing appliancesUnplug heat producing appliances

Don’t leave things on the stove unattendedDon’t leave things on the stove unattended

Have your furnace inspected regularlyHave your furnace inspected regularly