Most homeowner’s insurance policies have very limited coverage. For other types of coverage, a homeowner needs to purchase additional types of insurance. Typically, claims due to disasters such as earthquakes, floods, war, and other “Acts of God” are not included in a typical homeowner’s insurance policy. For these types of disasters, special insurance can be purchased in order to be covered, including flood insurance and earthquake insurance.

The basic insurance policy generally has coverage that reimburses you for the cost to rebuild or repair your home if destroyed or damaged through no fault of your own. The items inside the home are also part of the coverage included in basic homeowner’s insurance. If your home is burglarized and your property is stolen, your insurance policy usually reimburses you for the value of the lost items.

Most of the homeowner’s insurance policies are long-term contracts for a fixed period of time. If you do not wish to get into a long-term contract with an insurance company, you have the option of purchasing what is known as a perpetual insurance.

Perpetual insurance is a type of homeowner’s insurance without a fixed term. These types of policies are short term and must be renewed on a monthly or bimonthly basis. Perpetual insurance policies are not offered in all areas; they can only be found in certain areas.

The amount of premium you must pay for your policy is calculated depending on the type of coverage you wish you have for your home, as well as the likelihood of damage or destruction to your home. If it appears that it is unlikely that your home will be damaged, or if you live in a neighborhood that has very low crime rate, your premium will be significantly lower than homes that are situated in flood zones and high crime areas.

By: Thomas Morva

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Got homeowners insurance questions? Here are the top five homeowners insurance questions complete with answers.

What does homeowners insurance cover?

Homeowners insurance protects your home and your personal possessions from damage due to fire, lightning, burglary, vandalism, and acts of nature. It also protects you against liability lawsuits if someone is hurt in your home and they sue you.

How much insurance do I need?

You need enough homeowners insurance to cover the cost of rebuilding your home if it’s destroyed, to replace your personal possessions if they’re damaged, and to protect you from liability lawsuits.

To assess how much home coverage you need, get the square-foot building costs in your area from a builder or a realtor, then multiply that figure by your home’s square footage. For coverage for your personal possessions, take an inventory on everything you own and use the total value. And for liability insurance, figure enough coverage to protect your assets in the event you’re sued.

What about flood and earthquake insurance?

Most standard homeowners policies do not provide flood or earthquake coverage. If you live in a flood or earthquake zone you’ll need to get additional insurance.

Where can I get cheap homeowners insurance?

Insurance premiums can vary by hundreds, even thousands of dollars a year from one company to another, so the best way to get cheap homeowners insurance is to comparison shop.

There are now websites that let you compare rates between various insurance companies. All you do is fill out a simple questionnaire, wait for your insurance quotes, then choose the cheapest one.

The better comparison sites even have a chat feature that let’s you talk with an insurance professional online so you can get answers to all your insurance questions. (See link below.)

How do I find a good insurance company?

Most states maintain a department of insurance website that provides a host of consumer information, including claims that have been filed against insurance companies. If your state doesn’t list consumer information, you can go to California’s website (insurance.ca.gov) to get it.

J.D. Power & Associates rates homeowners insurance companies based on input from customers who own insurance policies with those companies. These ratings give you a good idea of how an insurance company treats its customers and how it pays its claims.

Visit http://www.LowerRateQuotes.com/homeowners-insurance.html or click on the following link to get homeowners insurance quotes from top-rated companies and see how much you can save. You can get more answers to your homeowners insurance questions in their Articles section.



By: ryan@thesatellitetvguide.com

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