Homeowners insurance provides lots of benefits to homeowners beyond just coverage against disasters and property loss. In fact, there are six primary benefits provided by standard homeowners insurance policies that can save you both time and money every year. While many homeowners are already familiar with these benefits, it’s worth taking a moment to review them so you don’t miss out on any of these valuable perks!
1) Protection Against Fire Damage
Keeping your home and belongings safe from natural disasters is a top priority for any homeowner. Fire damage is an especially serious concern because it can lead to complete destruction of your property and can put you in serious debt. A homeowners insurance policy can help you recover from fire damage more quickly while reducing your out-of-pocket expenses.
2) Emergency Services
When you’re waiting for help from emergency services to get through a terrible situation, it can feel like hours. In reality, they may only be minutes away, but that wait can seem excruciating. Having home insurance means you’ll know your needs will be met—and quickly—when disaster strikes. Even if your house is in poor condition, a good policy will provide coverage up to its full replacement value, protecting you against long-term expenses such as making major repairs or paying for an expensive rebuild.
3) Personal Property Protection
If your home is damaged by a fire or some other disaster, you’ll have to foot some of the bill. With homeowners insurance, you can protect yourself against that financial burden and put yourself in a better position if something goes wrong. Most policies provide coverage for up to 10 percent of your home’s value. If you don’t think that amount is enough, consider increasing it—it won’t change your premium significantly.
4) Liability Coverage for Accidental Injuries or Deaths
This is an important part of a homeowners insurance policy. If you’re at fault for someone getting hurt or killed on your property, you may be held responsible for medical expenses and other costs related to the accident. Liability insurance can help cover some of these expenses. You can also purchase additional policies that will compensate people who were hurt or had their property damaged.
5) Additional Living Expenses
When your house is damaged or destroyed, it can be difficult to live somewhere else while your house is being repaired. But as a homeowner, you have an important financial cushion if you suffer a disaster that makes your home uninhabitable: additional living expenses insurance (also known as loss-of-use coverage). This type of policy helps cover expenses such as hotel bills and other housing costs while your home undergoes repairs.
6) Medical Payments in the Event of Accidental Injury on Your Property
If you’re hurt on your property and need medical attention, your insurance company will cover it—even if you didn’t sustain an injury on purpose. In many cases, you don’t have to prove that someone else was at fault to be covered for these expenses.