Knowing What Your Home Insurance Covers

As a new homeowner, you may wrestle with trying to figure out exactly what your home insurance policy covers. A typical homeowners policy covers damage from fire, explosion, theft, storms, and vandalism, among other perils.

There is additional coverage available for possible issues, such as sewer and drain backups and flood damage. You may want to speak to an agent if these are concerns in the area in which you live. Remember, you don’t have to necessarily live in a flood zone to be affected by possible flooding. Floods can occur for a number of reasons, not merely because of a major storm.

It is important to know exactly what is covered

A standard homeowners insurance policy in West Springfield will also cover any costs that might be associated with allegations that you are responsible for injuries to others or damage to their property. These can be very costly to you, and in many cases, could lead to bankruptcy. Those costs could include legal defense, damages you are assessed, and settlements with those who were harmed.

Things that could expose you to a possible lawsuit include owning a dog, having a pool on your property, or dangerous equipment, like weights, a trampoline or other increased risks.  You may want to double check to make sure your policy doesn’t exclude these items.

The benefits of having the right amount of insurance
You can definitely benefit from doing some research into the types of policies available to you as a consumer. Over insuring can be costly, and you shouldn’t be paying for insurance you don’t need and will never use. On the other hand, having too little coverage isn’t ideal either, because you may end up paying out of pocket for any incidents occurring to, or on, your property.

Most policies provide replacement cost coverage for the structure, provided that the property owner purchases sufficient insurance to cover 80 percent of the replacement cost. Failure to do so can result in the insurance company paying only a percentage of the claim.

Coverage applies to a loss by any cause, except for those that are specifically excluded. Examples of excluded losses are earth movement (earthquake) and flood. Examples of covered losses include fire, theft and water escaping from within an appliance. A windstorm is typically a covered peril.

Other structures, including sheds, detached garages and so on, on the insured location that are separated from the primary structure by a clear space are also covered under most policies. If you have concerns about what is, and isn’t covered under your West Springfield home insurance policy, be sure to speak with a reputable agent for all the facts and details.