Unlike car insurance, home insurance is not required by law in Missouri. However, if you don't purchase coverage, you could find yourself paying out of pocket for costly repairs and any items damaged inside your home. To help you avoid these situations, below are some of the most important reasons you need to buy home insurance for your property. 

Why Should You Purchase Home Insurance?

1. To Pay for Fire or Storm Damage

All homeowners policies contain dwelling insurance coverage that pays for damages related to specific, named perils. Typical events include fire damage, storm damage, falling objects, and vandalism. This type of coverage pays for damages to the roof, foundation, walls, floors, and other structural elements of the home. Similarly, personal property coverage protects your home's contents from the same perils, with additional protection against theft. Items covered include appliances, clothing, electronics, and furniture. Note that most home insurance policies exclude damage caused by floods, but you can purchase that coverage for an additional amount.

2. To Guard Against Liability

Homeowner liability coverage protects you against the cost of repairs and medical bills if you or a member of your household should accidentally injure someone or damage their property. It also pays for any legal costs—lawyer fees, court costs, and judgment or settlement amounts—arising out of the incident. For example, if your dog should bite a passerby or your child should hit a baseball through a neighbor's window, your home insurance policy covers the costs associated with these events.

3. Because Your Lender Requires It

Nearly all banks and mortgage companies require borrowers to take out home insurance policies to protect their financial investment in the home. It is a provision of the mortgage contract, and failure to abide by it could result in these institutions asking for you to pay your loan in full. Alternatively, the lender may purchase insurance coverage for you in the amount of the remaining loan balance and tag the premium amounts onto your loan balance. This coverage won't benefit you nearly as much as it does them.

For expert assistance designing a home insurance policy that fits your budget and coverage needs, contact Texas County Mutual Insurance in Licking, MO. They have served individuals and agribusinesses throughout Texas County since 1904. They also specialize in mobile home, farm liability, and farm equipment insurance. Visit their website to message them online or call (573) 674-3125 to request an insurance quote.