Buying a house is an exciting experience, but it’s also important to focus on your future well-being as you prepare for life in new home. There are many hazards that could harm your new investment and endanger your family, including theft, fire, and extreme weather. With homeowners insurance, you can plan ahead for these events and have coverage that offers peace of mind. If you’re a first-time buyer, below are several basic details you should know about insuring your residential property.

Simple Introduction to Homeowners Insurance

What Does a Standard Homeowners Insurance Policy Cover?

A basic policy is designed to cover damage caused to dwellings, additional structures, and personal belongings kept within the home. The total protection value is usually determined by what all these items are worth. To cover the amount it would cost to rebuild, you should upgrade to a replacement policy.  

If the house becomes unlivable due to a covered incident, the policy should also provide “loss of use” coverage. These funds can help pay for essential resources such as hotel lodgings, food, and clothing.  

If someone is injured on your property, liability coverage is another part of a standard policy that can help address legal and medical fees.

What If My Valuables Are Worth More Than What’s Covered?

If your valuables are worth more than what your policy will cover, ask your insurance agent to increase the limit to an amount that reflects the actual value of your belongings. These changes will increase your premium and require you to pay more for coverage.

What Events Are Usually Covered By a Homeowners Policy?

Standard policies typically cover losses caused by a pre-determined list of perils—including fire, theft, severe storms, hail, wind, lightning, and freezing.

What Do Basic Policies Exclude?

There are several perils that are not covered by standard homeowners insurance. These risks include earthquakes, mudslides, sinkholes, flooding, tornados, and mold. Some may also exclude coverage of specific structures, such as swimming pools and trampolines.

Can You Cover Excluded Risks?

If your home is at risk of facing an excluded peril, you can still purchase additional insurance to get the coverage you need. Talk to your agent about your concerns and how you can purchase additional coverage while keeping your premiums affordable.

Whether you’re planning on purchasing a new home or you just want to get better rates on your current property, turn to Shelter Insurance® - Michael Flynn. Based in St. Peters, MO, this agent is equipped to form homeowners insurance policies for consumers in and around St. Louis and St. Charles counties. Focused on providing clients with reliable coverage and affordable rates, Flynn can also bundle your policy with other forms of protection—including life and auto insurance. For quotes, call (636) 441-8177 or visit his website.