Some homeowners will spend 30, 40, or even 50 years in the home without ever filing a claim with their homeowners insurance. If you’re not using the insurance on your home, why pay for it in the first place? In reality, there are plenty of good reasons to ensure you have the safety net that homeowners insurance provides.

Why Do You Need Homeowners Insurance?

It’s a Required Part of Your Mortgage

Unless you bought or are buying your house in cash, you will need a mortgage. Most banks or lenders will want assurance that they will be paid for at least the balance of the mortgage. Without any insurance on your home, your lender runs the risk of suffering a loss if your home is destroyed or found to be inhabitable following a disaster.

It’s for Your Own Protection

If you lost your home and have no savings to replace it, where would you and your family go? Unfortunately, fires, flooding, and other natural disasters claim people’s homes every day. In the event of a total loss, the insurance covering your home will help you get back on your feet. At the very least, it will cover the value of your home.

However, many homeowners insurance plans will also cover construction costs, a hotel stay, and meals while your home is rebuilt. Homes can take months to rebuild, so without this coverage, you could end up in significant debt just to get your home back.

It Covers Damages to Your Home

Homeowners insurance isn’t there only in the event of a total loss. Insurance will also protect you if a fire or natural disaster damages your house. For example, if a tree falls on your roof, a claim can be filed with your insurance company so the roof can be repaired or replaced.

It Protects Your Possessions

Beyond the protection homeowners insurance offers for the structure itself, your insurance policy will also cover the contents of your home. If a fire, weather-related event, or break-in occurs, you can file a claim to cover the contents that were lost. If some of your valuables happen to be exceptionally valuable, many policies will allow you to cover these items at an additional cost.

It Protects You Legally

Legally, your home is more than just a single structure. Liability coverage will often be a part of homeowners insurance policies, so if anything happens to someone on your property, from a dog bite to a slip-and-fall, the victim’s medical expenses and your legal fees will be covered.

Fritch Insurance of Beatrice, NE, has been faithfully serving their community for nearly 20 years now. Their friendly and knowledgeable staff is ready to assist you with your home insurance, farm insurance or auto insurance needs. Feel free to give them a call at (402) 223-3312 or visit them online.