Most homeowners assume that nothing wrong will happen to their house and property. We can never know when a disaster might hit. The only sure way of protecting yourself and keeping your home safe and secure is through insurance. So, if you do not have homeowners insurance, here are the top reasons for securing the coverage.
To Protect Your Home and Property
Homeowners insurance safeguards your home and property from loss. Typically, several risks can lead to damage and loss of your home and assets. For instance, your house and belongings could get damaged by fire, water flooding, vandalism, and theft. Homeowners insurance protects your building and structures such as garages, fences, and sheds from such hazards. If an insured risk occurs, the insurer will meet the cost of rebuilding or repairing your buildings. Also, with property coverage, the insurance company would replace any lost or damaged asset such as furniture, appliances, and clothes.
To Protect Yourself from Lawsuits
Homeowners insurance covers more than the structural and property issues. With a homeowner's insurance policy, you have coverage from personal liability lawsuits. Several incidences can lead to liability lawsuits should they occur within your residence. For example, your neighbor or visitor may get a slip accident or electrocution in your house. Also, you or your family member may cause damages to your neighbor's building or contents. In such a case, the aggrieved party may sue you for the injuries and damages incurred. The homeowner's insurance coverage covers the legal fees, medical bills and pays for the damages.
To Fulfil Lenders Requirements
One of the primary reasons for getting homeowners insurance is to qualify for financial lending. In most states, lenders may require borrowers to have homeowners insurance to qualify for a home loan. For instance, financial lenders such as the government, credit unions, and banks require borrowers to have homeowners insurance to qualify for a mortgage. One pays for the coverage until one completes the mortgage payments. Should you fail to do so, the lender may get homeowners insurance on your behalf at a premium cost and pass the cost to you. Usually, homeowners insurance provides a sense of security for the lenders where a mortgaged house is the loan collateral.
Protect You from Loss of Use
The occurrence of a hazard may make your home uninhabitable. Such a situation usually happens when there is a catastrophic event such as fire, flooding, or hurricane. Ordinarily, you would have to move out of your home to allow time for repairs. Without homeowners insurance, you would meet the cost of alternative accommodation or move in with family or friends. You can avoid such inconvenience by having homeowners insurance. The insurer pays hotel or rental fees and for meals should an insured peril leave you homeless.
Homeowners insurance can protect your assets and save you money when an insured hazard occurs. Regardless of the likelihood of a risk event, it is better to be safe than sorry.
For more information, reach out to a company such as Ronald H. Krupa Insurance Agency.