Understanding Homeowners Insurance

Regardless if your home is paid off or not, having homeowners insurance is a worth having. Not only does homeowners insurance protect the house, but all the belongings inside. In addition, a homeowners policy covers personal liability due to negligence, which includes damage to another person or their property and legal defense.

Your insurance agent can help you decide which insurance policy and any additional insurance you need to protect your assets.

There are 6 types of homeowners insurance options, the top 3 being HO-3. HO-4 and HO-6.

Special Form Homeowner Insurance (HO-3) is probably the most popular and protects against damage to the home, including personal belongings.

Renters Insurance (HO-4) protects people who are renting their home or apartment. This policy protects your belongings among other things.

Condominium Insurance (HO-6) is the another popular policy and protects those who own a condo or co-op. For more information about this and all the other homeowner insurance policies, here is a great website.