Everything You Need to Know About Home Insurance

So, you’ve recently purchased your new home, and an agent offers you home insurance, but you hesitated because you don’t know anything about it. So, what is home insurance? How does it work? Learn everything you need to know about home insurance.

How much does home insurance cost? According to the National Association of Insurance Commissioners, the average cost of home insurance is around $1,192 per year.

Primary Coverages of your Home Policy:

Coverage A – Dwelling

This coverage is the physical house itself. It covers your entire home’s structure from the ground up.

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Keep in mind that it is not the house’s value but also the land, location, and all the features.

Coverage B – Separate Structure

This covers structures that aren’t connected to your house; it can either be a shed, a detached garage, the fence around the house, or a pool not attached to the house. Anything that is disconnected from the home will be your coverage B.

Cover C – Personal Property Coverage

This covers your personal property in your house. It helps pay your damaged properties due to being destroyed, stolen, or damaged due to a covered peril.

Coverage D – Loss of Use

This covers any living expenses incurred because of a loss. The loss can be your kitchen caught fire, and it doesn’t serve its purpose because it is being remodeled, then all of the expenses during that time will be covered.