What is home owners insurance?

Home insurance protects you financially against catastrophic events.  Generally, Texas residents have more hail insurance claims than other states.   The typical home insurance policy insures the home itself and your personal belongings as well.  Since the home insurance policy covers both the property and legal liability for injuries and damages caused by you and your immediate family, it is considered a package policy.

The typical home insurance policy provides protection for perils including: fire, theft, vandalism, wind, and hail.  On the other hand the perils of flood, earthquake are purchased through separate policies.   In order to get protection for maintenance-related problems, home owners should purchase a separate home warranty.

What is in a home insurance policy?

The standard home insurance includes the following coverages:

Dwelling Coverage This coverage pays to repair or rebuild your home after a covered loss (claim).  Covered perils include fire, wind, hail, lightning, or other disaster claims.  Generally, detached structures like small sheds are covered for 10% of the dwelling coverage.
Personal Property Your personal belongings including furniture, clothes, and other personal items are covered by your home insurance policy.  Covered perils include fire, hurricane, theft, and other disasters.
Personal Liability Liability provides protection against lawsuits for injuries or damage caused by you or family members.  Some home policies also cover damage caused by pets.  Dog bite liability can be excluded from many home insurance policies.
Additional Living Expenses Additional Living Expenses pays for the increased cost of living as a result of living away from home due to fire, hurricane, wind, hail or other covered claims that renders the home unliveable.

Different Types of Home Insurance Policies

Dallas Home Insurance policies vary based on the type of home you own.  If you live in a single family dwelling and own the house, you need a standard home insurance policy.  If you live in and own a town home or condominium but you do not own the structure, you need a condominium policy.  All home insurance policies are not created equally, so make sure to contact an insurance agent today.