What Are the Basic Coverages?
The basic coverages for homeowners insurance include property damage, personal liability and loss of use. If you own a home you know how important it is to protect your belongings against all types of hazards. Depending on where you live you may worry about flood or hurricane damage or fire or landslide damage. Any of these hazards can be covered by your homeowners insurance policy. You will need to go online to compare the rates of several different companies and find the one that best fits your needs and your budget. Depending on the type of home you own and the value of your belongings - you will need to decide on an adequate amount of coverage for each portion of your policy after choosing a deductible.
Property Damage Coverage
Property damage coverage will take care of all of the property covered by your homeowners insurance policy. Your home is probably one of the biggest investments you will ever make. You need to make sure you have enough coverage to replace your home if it is totally destroyed by a flood, fire or other peril. Look at the value of your home and how much it will cost to replace with updated materials in the future economy. Usually your home will go up in value each year and you need to take this into consideration when calculating the amount of coverage you need.
Your personal belongings will also be covered by your property damage policy. You should have a claims list that itemizes the possessions you have and how much value they carry. Some people even take pictures or video of the contents of their home to make sure they will be covered if an accident happens. Your clothes, electronics, sports equipment and hobby items are probably very valuable. Make sure you have enough homeowners insurance coverage to take care of everything.
You will also want to take into account the other structures on your property. If you have a garage, play house for the kids, swimming pool or outdoor kitchen all of these things will be covered under the property damage portion of your homeowners policy. Check the amount of coverage you have and make sure it is enough in the event a disaster strikes.
Personal Liability Coverage
Personal liability coverage is important if someone is injured on your property. If you are having a party and someone slips and falls you may be liable for the medical expenses. If your children are playing in the pool and someone gets hurt you will need to compensate the child's parents for the emergency room bills. Since so many families do not have insurance these days - the personal liability portion of your policy will help ensure the injured person receives the immediate care he needs.
Loss of Use
The loss of use policy will help you pay for expenses while your home is being repaired. If the house you have been living in is affected by a disaster and deemed uninhabitable - you will probably need to find another place to stay. This may be at a hotel if you will only be displaced for a short time - or a rental unit if it will be longer. Loss of use will help pay the lodging expenses and some food and gas expenses if they qualify on the policy. This could be very important if you find yourself homeless.
Check online for all of the different types of homeowners insurance coverage including basic coverages and compare quotes for the best policies. There are many choices available - find the one that fits your needs and your budget.