What Is Homeowners Insurance?

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 Your home is more than just a roof over your head. It may be your most valuable asset — and one you likely can’t afford to replace out-of-pocket if disaster strikes. That’s why protecting your investment with the right homeowners insurance coverage is so important.

• Homeowners insurance provides financial relief if a covered event damages your home, property or personal belongings.
• It can also pay out when you’re held responsible for an accident or injury.
• Homeowners insurance is required by most mortgage lenders.

Coverages: 

• Dwelling coverage:  Covers damage to the home and attached structures, such as a porch, the coverage amount should be enough to rebuild your home. 
•  Other structures:  Covers stand-alone structures on your property, such as a fence or shed, it's usually a 10% of the dwelling coverage.
•  Personal property:  Pays to repair or replace belongings that are stolen or damaged in a covered event, it's usually  50% to 70% of dwelling coverage. 
•  Additional living expenses:  Helps pay temporary living expenses while your home is being repaired, usually a 20% of the dwelling coverage.
• Liability coverage:  Pays if you injure someone or cause property damage unintentionally or through neglect, between 100k to 500k.
• Medical payments:  Pays to treat someone injured on your property, regardless of who’s at fault. Also pays if you, a family member or a pet injures someone elsewhere, between $1000 to $5000.