Buying a home is one of the biggest financial investments you are going to make and it is only natural that you would want to protect your home against disasters and theft and burglary, etc. Homeowners insurance in Port St Lucie FL financially protects your home against different kinds of perils. You may have found an insurance service provider, made your down payment and got approved for the insurance. But before you get home insurance you need to educate yourself about different aspects of home insurance. Here are a couple of things that you may not know about a homeowner’s insurance.
Flood And Earthquake Is Not Covered In The Policy
Earthquakes and floods are natural disasters that aren’t covered by homeowners insurance. Homeowners insurance covers a range of natural disasters but floods and earthquakes are not included in it. You can, however, get flood and earthquake insurance as addons to your homeowner’s policy. Basically, a homeowners policy does not cover any disaster like earthquake, landslide, etc that is caused by the earth’s movement.
Loss Of Use Coverage
Homeowners insurance does not only protect your home against mishaps but its loss of coverage part also offers reimbursements in the event of theft and also offers temporary living expenses if you have to live away from your home due to some loss. For example, if there has been a fire and your house isn’t hospitable at the time, your loss of use coverage will pay for the temporary living expenses until your home is habitable again.
There Is No Benefit To Bailee
Bailee is a word used to describe a company or a person who is in temporary possession of your things. In this case, although you are in charge of your property, someone is responsible for keeping it safe for the time being. As per homeowners insurance, no benefit is given to a bailee which means if your property is damaged when it is under the supervision of a bailee, you won’t get insurance coverage and you aren’t eligible to file for a claim.
Retroactive Coverage Doesn’t Work
If there has been a disaster that has damaged anything in your home and you buy insurance to cover the claim. But it won’t work. There is no retroactive coverage when it comes to a homeowners policy or auto insurance in Palm City. a homeowners policy only covers all the losses that occur after the start date of the policy. So if you think you can get coverage after you get an insurance policy after the mishap has happened, then you are in for a disappointment.
Damage Is Covered Only For Mentioned Perils
A homeowners insurance is basically covered by two types of coverages, the dwelling coverage, and other structure coverage, and sometimes some people get an open perils policy as well. Generally, when your house is damaged by a natural disaster or peril of some kind it will either be covered by dwelling coverage or structure coverage unless the kind of peril that destroyed your home is specifically excluded from the policy. In an open peril policy, there are 16 specific types of perils that are included in the policy including, fire, smoke, explosion, theft, etc. so when you get coverage, discuss with the insurance provider to understand what perils are covered by the policy and if there is something specific that you want to have your home covered from then you should get additional coverage.
Deductibles Have To Be Paid By You
The insurance deductible is the amount of money that is subtracted from the payouts of future claims. This money is like your participation in the damage or loss. It is like you are paying a certain amount in the event of damage or loss and your insurance provider will pay the rest. When you sign up for an insurance policy, you will be asked to choose an amount deductible and it can be anywhere from $1000 to $2500. For example, if the furniture in your home was damaged due to some perils and the furniture costs $5000. You chose a deductible of $1000 when signing the policy. So now, if your claim gets approved, your insurance provider will pay $4000 while you pay $1000.
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