Homeowners purchase homeowner’s insurance policies to protect their investment, and lenders require the insurance if the property owner has an existing mortgage. When reviewing the homeowner’s insurance policies, the homeowners must consider what is covered under the policies.
Property owners will need to consider the standards of the policies and what they can expect from all carriers. When reviewing all the terms of the policies, the homeowners must consider if the policy covers everything on the property. Some homeowners install new structures on their property, and it is vital for them to determine what policies cover their home most effectively.
- Protection For the Dwelling Itself
Homeowner’s insurance provides protection for the dwelling itself, and the property owner must review exactly what this means. The dwelling is the property itself, the roof, the walls, the flooring, and the foundation. Some policies may include the electrical and plumbing systems, but they may not cover installations such as the heating and cooling systems. When reviewing the terms of the policy, the homeowner must consider what limits are imposed through dwelling coverage.
Many homeowners confuse homeowner’s insurance with home warranty coverage, and they must review the differences. Homeowners can get coverage for a variety of installations throughout the home. This could include the electronics, appliances, plumbing, electrical, and the heating and cooling systems.
The warranty coverage is not the same as insurance coverage. Insurance coverage provides funds to replace the home or replace it if it is a complete loss. The warranty provides discounts and access to better service providers that will complete repairs and new replacements. The homeowner will save a lot of money by getting a home warranty, and they can protect their home through homeowner’s insurance.
- Replacement for Electronics and Appliances
Under the homeowner’s insurance policy, the homeowner can get the true replacement value for electronics or appliances that were damaged during a covered event. The homeowner can get the new model if they cannot find the same model they had before the event. The insurance policy gives them the full price to replace the electronics or appliances. However, the property owner will not get the coverage unless a covered event happens.
With a home warranty, property owners can get discounts on repairs and replacement costs if they have to repair or replace electronics and appliances. It can provide discounts for the services and help property owners find high-quality products to replace any electronics or appliances that are no longer viable. To learn more about the policies and coverages, you may visit rogerbutlerinsurance.com to see insurance options about their insurance plans.
The property owner doesn’t have to wait for a covered event such as a fire, natural disaster, or criminal act. They can contact their warranty company and file a claim to get repairs or replacement services. The warranty company will coordinate with local repair services and present the homeowner with information about the costs according to their selections.
- The Property Owner’s Personal Belongings
Unlike a home warranty, the homeowner can get coverage for their personal belongings through their homeowner’s insurance policy. Personal belongings can include clothing, jewelry, artwork, and furniture. A covered event happens and damages these items, the homeowner can file a claim through their homeowner’s insurance carrier.
The claims adjuster will come to the property and assess the damage. They will review the items that were damaged, and the adjuster calculates a value for the items. When filing the claim, the property owner can get funds to replace these items.
However, for some homeowners, the base value assigned to some items will not reflect the true value of the items, and the homeowner could suffer a loss. To avoid these losses, the property owner can get a rider for high-value items such as jewelry, artwork, and antiques.
They will need to get an official appraisal for each of the items and add the appraisal and the value to the rider. If the homeowner’s items covered by the rider are lost, damaged, or stolen, the homeowner’s insurance policy will provide the homeowner with the full value of the items after the claim has been approved. Many homeowners will take pictures of the items when setting up the rider to ensure coverage and that the insurer is familiar with the item.
- Fixtures and Structures Connected Directly to the Home
Through a homeowner’s insurance policy, the homeowner has coverage for all fixtures and structures that are connected directly to the home. For example, homeowners with an attached garage have coverage for their garage through their homeowner’s insurance policy. If they add to the property in the future, they can add the new expansion to the policy since it connects to the property directly.
However, there are a full array of installations that do not connect to the home itself directly. Swimming pools, hot tubs, guest homes, and pool houses are on the same property but are not connected to the dwelling, and the homeowner will need an additional policy for these structures. They could get a rider to help them maximize their coverage.
A home warranty would apply to all of these structures regardless of whether they have a direct connection. The property owner can add the new structures to the home warranty and give the homeowner discounts on repairs, routine maintenance, and new installations. A home warranty could make it more affordable for the property owner to have these installations and repair them as needed. The warranty is affordable and decreases these costs for the property owners.
Homeowners must get homeowner’s insurance policies to protect the homes and get the coverage they need when a covered event happens. The policies cover the dwelling itself and structures that connect to the property itself. Homeowners can get temporary housing funds if the covered events displace them from their property. They can also get coverage for their personal belongings.
In comparison, a home warranty provides coverage for installations such as appliances, electronics, electrical systems, plumbing, and heating and cooling systems. It could also cover new structures such as guest homes and swimming pools. By comparing coverage, the homeowners determine how much coverage they need.