Understanding what your homeowners insurance protects you from should be a must.

Since not all policies are the same, most will cover the basics like personal property, loss of use, etc. Depending on each individual homeowner insurance policy, there are exemptions. Keeping in touch with your insurance agent should answer your questions about your policy. You should also know by now that there is a deductible involved in every claim that you make.

Your homeowner insurance policy has two parts:

Part I: Property Protection

The Property Protection section is broken down into four (4) subsections:

  1. Dwelling

This covers the physical aspect of your house such as the structure itself, plumbing, fixtures within the house, electrical wiring, attached structures and heating and air conditioning systems.

  1. Other Structures

This section covers any detached structures from the house but could be attached on land like fencing, sidewalks, patios, driveways, firewalls and the like. This also includes garages, storage sheds among other things. Those used for business purposes, though detached are not covered under the homeowner insurance policy.

  1. Personal Property

This section includes the contents of your home including your personal property and those living within your house. You can also add an endorsement policy that may cover other valuable things since the personal property insurance involves actual value or replacement cost.

  1. Loss of Use

If you cannot live in your home due to certain repairs, this section covers those expenses that may arise beyond the normal living expenses.

Part II: Liability Protection

The Liability Protection section is divided into two (2) parts:

  1. Personal Liability

Physical injuries and damage brought about accidents on your property is covered by this section. This will protect you from any lawsuits or claims that may arise by activities inside your home which may cause damage or injury. However, it does not include incidents which are auto or business related.

  1. Medical Payments

Medical expenses of those who are accidentally injured within your property are covered by this section. Regardless of fault, medical payments will be shouldered by the insurance company. This is only applicable, though who are not living in your home and business related activities.

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