It is easy to find affordable home insurance. Call the insurance company to compare prices and choose the lowest insurer. However, the importance of proper homeowners insurance prices is not always the best comparison point. After all, home insurance does not protect your housing structure. If you are at home and you are responsible for the injury or property damage of another person, protect your property and take your place.
While many of the factors that determine your home premium are beyond your control, this article outlines some strategies that will help you find affordable home insurance. Use the online quotation tool below to start one important strategy: tour your store. All you have to do is enter a zip code. You will then receive a variety of options from your local top insurance company.
Housing insurance coverage
There are many types of home insurance, but all of them protect your home from “dangers”. This is just a great way to mention bad things that damage your property. Homeowner’s insurance is numbered as HO-1, HO-2, HO-3, and so on. The HO-1 policy is so basic that most insurance companies have discontinued their sale, so we will not cover that type in detail.
According to the Insurance Information Institute (III), the HO-2 and HO-3 policies protect the home and its contents when these 16 risk factors occur.
Fire or lightning
Storm or Hail
Riot or civil disturbance
Damage caused by vehicle
Vandalism or malicious mischief
Weight of ice, snow or sleet that damages the building
Discharge or overflow of accidental water or steam from piping, heating, air conditioning or automatic fire protection systems or appliances
Cracking, burning or expanding of sudden and accidental splitting, steam or hot water heating systems or air conditioning or automatic fire protection systems
Plumbing, heating, air conditioning or automatic fire protection systems or freezing of appliances
Sudden damage due to artificially generated current
The difference between HO-2, also called “broad-form” policy, and HO-3, called “special form”, is that HO-2 policies specify everything and HO-3 policies do not. In other words, if you have an HO-2 policy and there is a problem with your home not listed above, you will not be lucky. On the other hand, the HO-3 policy covers everything that can happen at home except that they specifically exclude it. Standard exclusions include earthquakes, floods, wars, nuclear disasters, neglect and pests. According to III, the HO-3 policy is the most used.
The HO-5 policy is similar to the HO-3 policy, but it also protects personal property. The HO-4 policy protects the tenant and the HO-6 policy protects the condominium owner. The HO-7 policy is mobile or manufactured home, and the HO-8 policy is especially for older households.
Housing insurance does not apply
Whatever kind of landlord insurance policy you buy, there are important things that you will not cover. Floods are not covered. A separate policy is required (federal government is required if you are in a high risk area). Earthquakes such as landslides and sinks or other “earth movements” require separate coverage. Problems caused by sewer back up, mold damage and neglect are also excluded from the standard policy. Ask your insurance company for a complete exclusion list. Some may surprise you.