House Insurance Details
If you are a first-time homeowner or looking to shop your current coverage; educate yourself. Not understanding how homeowners insurance works could prove costly if you should ever have a claim. Take a moment to read up on homeowners insurance before a disaster strikes. Waiting until after you have a claim is the wrong time to learn about how your policy will respond.
All too often, homeowners find out only after a loss event that their coverage was insufficient. By working with an independent insurance agent, you can spend time obtaining a clear understanding of your coverage needs and the solutions available to you. More importantly, independent agents like Duliban Insurance can walk through exactly what happens if you would need to file a claim.
A legal contract between you and the insurance company.
A homeowners insurance policy is a legal contract between you and the insurance company you have chosen to cover your home. Your insurance policy covers damages property and possessions lost from specifically named perils such as hail, windstorms, or lightning damage. Broader policies exist which will cover damage or loss from any peril, unless specifically excluded. Keep in mind that although a few insurance companies offer flood coverage within your homeowners insurance policy, most exclude damage caused by flooding.
After protecting your property, homeowners insurance policies also help cover your personal exposure to liability claims. Liability insurance protects you and your family from lawsuits resulting from someone becoming injured on your property or damage to their property.
In the event of a claim…
As with any contractual service, your obligation is to make premium payments on time. In doing so, the insurance company is bound by its promise to pay in the event of a claim. It is important not to let payments lapse as claims can be denied.
If you have a claim, you will work closely with an adjuster. The adjuster’s responsibility is first to determine whether the cause of loss is included in your policy. If confirmed, the second step is the adjuster will determine the amount of payment due. You, as the homeowner, would be responsible for any deductible obligation.
It is in the details of an insurance policy where policyholders may overlook important exclusions or exceptions that can greatly impact the result of a claim. The insurance policy will outline specifically what is and is not insured under the policy form. For example, the home’s structural components, contents held inside, and any upgrades are commonly insured.
However, many items are specifically excluded or can only be covered using an added endorsement. Commonly excluded items include cash, securities, jewelry, gems, and precious metals. And although you may store them in your garage, vehicles are also excluded.
Do your homework
This is why it is crucial to do your homework when considering the purchase of homeowners insurance. You can always ask a home insurance broker in Ontario such as Duliban Insurance any questions you may have before you purchase a policy. Make sure the coverage you obtain is what you want and need.
After outlining what is covered within the insurance policy, the policy will continue on to specify the events, called perils, your home and possessions are covered from. Most homeowners insurance policies cover the following:
- Falling objects
- Damage from frozen pipes
Other structures, such as detached garages, fences, sheds, and swimming pools can also be afforded with the same protections for the same causes of loss. However, most policies will impose a sub-limit for additional items. Additional limits of coverage for ancillary items are available for additional premium.
Liability protection is just as important as insuring your home and possessions.
Although less likely than claiming damage to your home, a liability lawsuit against you could be multiple times more costly. Consider the costs you could be held liable for if someone was injured in your home:
- Legal costs
- Lost wages
- Medical bills
- Death benefits
- Pain and suffering
Liability coverage protects you and your family even away from your house. For example, if you accidentally cause damage at another individual’s home, your homeowners policy may be called upon for reimbursement. Or, if you inadvertently injure someone in public, your coverage may help protect you if you are sued. It is important to note liability coverage does not cover intentional acts.
Duliban home insurance brokers in Ontario have been providing coverage for homeowners since 1976. We aim to please every customer that we serve. By partnering with the strongest insurance companies serving Ontario, our clients receive the coverage they need at the most competitive rates. But don’t take our word for it, we’ve earned the trust of hundreds of homeowners in Southern Ontario.
“For the first time in many years, we found ourselves dealing face to face with a hometown broker for our insurance needs. Not only were we able to save hundreds of dollars a year on our property insurance but we appreciated the advice on improving the coverage on our automobiles. Thank you for your friendly and professional advice!” – Pauline J