When it comes to Homeowners Insurance, it’s prudent to get enough insurance to:
- Completely rebuild your house in the event it is destroyed by fire or other insured disaster
- Replace everything in the house
- Protect your liability in case someone is injured on your property and sues you
You might also want to consider additional coverages based on your unique risks. Such risks include, but are not limited to:
- Special protection for jewelry, collectibles and expensive items
- Extended or guaranteed replacement cost for the structure
- Sewer and drain back-ups
- An inflation-guard clause, which automatically adjusts your home value annually to the construction costs in your area
- Umbrella liability coverage for a pool or other high-risk items
A standard homeowners insurance policy insures the home itself and the things you keep in it. This policy is typically a package policy, which means that: a) it covers damage to your property and b) it covers your liability or legal responsibility for any injuries and property damage you or members of your family cause to other people.
Let’s look at each coverage section in more detail:
Section I: Property Protection
Dwelling: This offers protection as a result of damage to the structure of your home. Damage includes fixtures, plumbing and heating due to a covered loss, such as fire or hail storm damage. It does not cover the normal wear and tear of your home or maintenance-related problems. You need enough coverage for the cost of rebuilding or repairing your home, less the cost of the land. Determining this new replacement, value can be somewhat complex, but the team at Friedle Insurance Agency can assist with this process.
Other Structures: This includes coverage for detached structures. Do you have a garage or garden shed? Other structures insurance covers these structures. It also covers fixtures attached to land such as a driveway, sidewalks, patio, fence, swimming pool, etc.
Personal Property: This covers the contents and personal items in your home such as furniture, clothing, sporting goods, etc. Personal Property also extends to your personal belongings, up to a maximum value per item, anywhere in the world. To determine your property’s value, we’ll provide you with a home inventory checklist to help you effortlessly itemize your belongings.
We recommend insuring your personal property for its replacement cost value. Your belongings hold less value the longer you own them. Replacement cost value ensures that you can replace yesterday’s purchases at today’s prices.
Loss of Use: In the event that a covered loss, the most common being a house fire, forces you from your home, Loss of Use provides a safety net for additional expenses over and above your normal living expenses while you are unable to live in your home, up to the policy limit.
Section II: Liability to Others
The Liability to Others portion of your policy covers you against lawsuits for bodily injury or property damage that you or family members may cause to other people. Liability to Others pays for both the cost of litigation and court awards, up to the limit of your policy. Liability to Others also covers you at home or away.
If a visitor is injured in your home, medical payments coverage allows the person to submit medical bills directly to your insurance company. The benefit of this is that expenses are paid to the injured person up to the policy limit without a liability claim being filed against you.
Additional Considerations and Questions
What about disasters?
Damage caused by most disasters is covered in a standard homeowners policy, but floods and earthquakes are excluded. Upon request, Friedle Insurance Agency can provide coverage information about each.
If your home is left vacant due to a move or new construction, you are vulnerable to claims for loss from vandalism and other mishaps. Please check with our agency to learn more about the coverage options available.
What are the top ways to save on your premium?
- Consider raising your deductible
- Invest in a home security system
- Update exterior locks to dead bolts
- Install smoke alarms
- Select an automatic payment method
- Monitor your credit rating
- Ask about the Friedle Insurance Agency multi-policy discounts
Friedle Insurance Agency specializes in providing homeowners insurance solutions so you can get back to the business of living, knowing that one of your largest assets is protected.