Insurance is the best way to safeguard against unforeseen calamities. Almost everyone insures their car, since basic auto insurance is federally mandated, but you should also make sure to purchase homeowners insurance. If you're a first-time homeowner, you may not know where to start when looking for a policy. Here are four things you should know about homeowners insurance:
1. You can purchase insurance from an agent.
While it's possible to buy insurance on your own over the internet, there are many benefits to getting your insurance through a homeowners insurance agent. An agent will be able to find you the best possible deal by looking through the offerings of many insurance providers. They can also explain any parts of your insurance policy that you don't understand; this is important, since you never want to sign a document that you haven't thoroughly looked over. Your insurance needs may change over time, and your insurance agent will always be there to help you accommodate those needs.
2. Homeowners insurance covers more than just your house.
Most people purchase homeowners insurance to safeguard against fire or theft. However, you should know that your insurance policy will protect everything on your property, including free-standing structures in your backyard, such as doghouses or storage sheds. Your policy even covers your fence if it's on your property; this can be very useful if your fence is damaged by a falling tree or a hit-and-run car accident. Your property is even covered by your insurance policy when it's not on your property. If you take a boombox to work and it gets damaged, your homeowner's insurance will cover it.
3. Homeowners insurance protects you from legal liability.
You may not know that if someone gets hurt on your property, they can sue you for the cost of their medical bills. This includes guests that visit your home, but it can also include the mailman who slips on a patch of ice on your front porch. Homeowners insurance will provide personal liability coverage. It will also pay for the medical bills of the injured person, so you don't have to.
4. You can choose your level of coverage.
You can purchase a homeowners insurance policy based on your specific needs and budget. If you don't have a lot of valuables, you may want to purchase an actual cash value policy, which will reimburse you the cost you paid for a damaged item. If you own costly possessions, you may want to purchase a replacement value policy instead.