5 Things You Might Not Know About Home Insurance

Homeowner’s insurance isn’t an option for most new buyers. If you have a mortgage, you’re going to need homeowner’s insurance. Even if you don’t have a mortgage, it’s a good idea to have protection. What about renters? Should they be covered, too?


Take a look at these five things you might not have known about home insurance.


Note: For details about specific costs and policies or for more complex questions, contact your insurance provider.


Renters Need Insurance, Too


Your landlord’s property insurance covers the building, not your possessions. If a pipe breaks and your rental floods, your personal property isn’t covered unless you have renter’s insurance. It’s not as expensive as most people fear, averaging about $12 per month for $30,000 of property coverage and $100,000 in liability coverage.


Homeowners Often Underestimate Their Coverage Amount


The amount of coverage you need should be at least what it would cost to rebuild your home from the ground up and replace your current possessions in the case of a catastrophic event. If you’re unsure how much this is, work with your insurance agent to find the right amount for you.


All of Your Things May Not Be Covered Under a Standard Policy


If you’ve got valuable jewelry, art, collectibles, or even technology, the full value may not be covered under your standard policy. There are typically limits for jewelry, art, and other items if you have to file a claim. You’ll want to consider additional coverage for your most costly and valuable possessions.


Standard Policies Don’t Cover Natural Disasters


Think the tornado that blew through your home is covered? Think again. Under most policies, natural disasters aren’t covered. Here in Florida, we’re all very familiar with hurricane coverage but ask your agent about other natural disasters that can hit.


Hurricane Coverage Doesn’t Include Flood Damage


Anyone living on the water is probably very familiar with flood insurance from the National Flood Insurance Program (NFIP). If you don’t have flood insurance, don’t count on your hurricane coverage to protect you when a storm hits and your home is flooded. Even if you think your home won’t be affected by rising waters, flood insurance – especially in our part of Florida – is a good idea to have. The further away you are from water and the higher elevation your home has, the lower the costs will be.


Having insurance for your home and possessions isn’t always enough. You need to make sure you understand your coverage and have enough of it, in case the worst happens.


  1. I’m looking to get my first home in the next few years. I like your point to check to see if your home insurance covers things like natural disasters. I grew up in the Pacific Northwest, and flooding was fairly common in the spring. I’ll have to check to see if there are other policies that I’ll want to include with my home insurance policy. Thanks for the tips.

  2. Thanks for the information that all of my things may not be covered. I thought that all of my personal items in my house were covered by home insurance. I’m going to take your advice and file a claim. I want to know that my things are protected.

  3. I’m finally ready to buy a home, so I need to know a few things about finding the right homeowners insurance policy. You said something interesting about how there are certain things that may not be covered under a standard policy. This seems important for me to know since I was considering signing up for a standard policy. I’ll be sure to go over the items that I need under my insurance plan and find out if I need extra coverage for my home.

  4. I didn’t know all of this information about home insurance. I had no idea that the amount of coverage needed is the sum of rebuilding your home and replacing all our possessions. That is a lot of coverage, but I can see how it might be needed in a disaster.

  5. What do you mean that most policies don’t cover natural disasters? Where I live, there are tornadoes and earthquakes occasionally, so I am glad that I read this! Once I buy a home, I will be sure to ask about this type of home insurance.

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