Buying a house is a huge investment. Homeowners insurance will protect your home and your investment. Most homeowners insurance policies protect your property against loss from theft, liability and most common disasters. It is commonly known as hazard insurance.
There are six types of home insurance coverage:
- Coverage A – Dwelling: Protects against damage to your home due to natural disaster such as hurricane, hail, lightning, or fire.
- Coverage B – Other Structures: Coverage for other structures on your property such as detached garages.
- Coverage C – Personal Property: Protects personal items and household contents from theft or destruction.
- Coverage D — Loss of Use: Provides living expenses if you are unable to live in your home due to a covered claim.
- Coverage E — Personal Liability Protection: Protects you if there is a lawsuit for bodily injury or property damage.
- Coverage F — Medical Payments: Covers medical expenses for injury to someone on your property. Only when there is no lawsuit.