Introduction to Homeowners Insurance

Not having good homeowner insurance protection, just one event can destroy the dream of homeownership and transform it into a nightmare. A home is likely the biggest investment a person will ever make, so it makes sense to safeguard it with good home insurance. Homeowners insurance is designed to safeguard the home and the people and possessions within it from any covered issue that results in financial loss. This normally includes fire, theft, accidents, and even vandalism. A noteworthy aspect of this kind of insurance is the built-in protection for the consequences of injury on your property and the possible legal action against you. If you own a home, you will need home insurance and lenders will mandate you take out a policy before approving a mortgage loan. Your coverage will normally extend to some natural disasters with exclusions including earthquakes, floods, and hurricanes. (You will need to purchase separate policies for these other kinds of coverage. Depending on where you reside, extra policy coverage may or may not be available for these other risks.