Talking With Insurance Companies

A standard home insurance policy can protect your home in many ways, but many people often make assumptions about what their home insurance will actually cover. 

As such, homeowners should understand what their policy covers and what it doesn't. For example, home insurance typically won't cover damage caused by floods or earthquakes. So, if you live in an area prone to either of those natural disasters, you'll likely need to purchase a separate policy.

Here are a few things that a standard home insurance policy will cover.

Your Home's Physical Structure

A standard home insurance policy is designed to protect your home's physical structure. This includes the walls, floors, ceilings, roof, and any other permanent fixtures.

If your home is damaged or destroyed by a covered event, such as a fire or severe weather, your home insurance policy will help pay for the repairs. In some cases, it may even cover the costs if your home has to be rebuilt from scratch.

Usually, there is a limit on how much the policy will pay out, so it's important to make sure you have enough coverage. For example, if your home is valued at $300,000 but your policy only covers up to $250,000, you'll have to pay for the rest of the repairs out of your own pocket. So if you want full coverage, make sure you get a policy that covers the full value of your home.

Additional Living Expenses If Your Home Is Uninhabitable

A standard home insurance policy will typically cover a portion of your additional living expenses if your home becomes uninhabitable due to a covered event. Typically, covered events that could render your home uninhabitable include fire, smoke, wind damage, and water damage from burst pipes.

This coverage is designed to help pay for things like alternative accommodations, storage fees, and restaurant meals while your home is being repaired. The coverage limits and eligibility requirements vary by insurer, so it's important to read your policy documents carefully to understand what's included.

If you need to make a claim for additional living expenses, you will generally need to provide documentation of the repairs that need to be made and the resulting cost. Once your claim is approved, your insurer will issue a payment to help cover the expenses incurred while you are unable to live in your home.

Things To Keep In Mind

There are a few things to keep in mind when it comes to home insurance. First, a standard home insurance policy typically has a deductible, which is the amount you'll have to pay out-of-pocket before your insurer starts covering the costs. The amount varies depending on your policy and the coverage you have.

Second, home insurance usually doesn't cover intentional damage or damage caused by wear and tear. So if you break a window on purpose or your home is in need of general maintenance, you'll have to pay for those repairs out of your own pocket. 

Contact your insurance agent to learn more about home insurance.