What can Home Insurance do for you?
Home insurance is in place to cover the costs of any accidental losses that may occur within your home, including things like a fire, robbery or even an explosion. Another thing that your policy protects you against is lawsuits. If your personal actions result in you facing a trial, your policy will kick in.
Although you are not actually required by law to have a home insurance policy, it is highly recommended. However, if you have a lease or a mortgage, then it may be required for you to invest in a policy. This is because most institutions, such as banks or real estate companies, require you to present them with an insurance policy before they will provide you with their services.
Understanding your policy
Understanding an insurance policy can be a very confusing and daunting task. However, when investing in home insurance coverage, it is extremely important that you comprehend what coverage you are about to purchase. Some common questions that people have when reading through a policy can include:
- What specifically is covered in my policy?
- What isn’t covered in my policy?
- Does my policy have any limitations?
- If I need to file a report, who do I file it to and what is the process?
Thankfully Brokerlink is here to answer all of these questions for you! It is our top priority to make sure that you understand your entire policy.
Types of Home Insurance policies
Most home insurance policies have three different levels of coverage for you to pick from:
Basic homeowner’s insurance
This option is the most inexpensive of the bunch, which makes it great for anyone who is looking for some protection but at a cheaper price. This policy, which includes only Named Perils Coverage, will cover your home and its contents, and sometimes will even cover personal liability in specific situations.
Broad homeowner’s insurance
If you are looking for more coverage than a basic policy offers, but still not looking to spend too much, then this may be a great choice for you. This policy offers All-Risks Coverage for your actual house, but only Named Perils coverage for the contents of your home.
Comprehensive homeowner’s insurance
This option is the most expensive of the three, but will provide you with the maximum amount of coverage that a home insurance policy can offer. All Risks Coverage is included in comprehensive homeowner’s insurance for both your house and its contents.
Four areas that a Home Insurance policy covers
1. Personal liability
If the unfortunate event of an accident were to occur on your property, you would be held legally responsible. Personal liability protects you from any losses associated with a situation like this. For example, if a guest were to slip and fall on your driveway, this policy would protect you against losses including medical payments and expenses, the cost of a lawsuit and any damages to your property.
2. Building and detached structures
This part of a home insurance policy refers to the actual structure of your house. If something were to happen to the physical building that you call your home, you will be protected. Although coverage may vary depending on where you actually live, most policies include detached structures as well. These can range from things like sheds to your garage.
3. Personal property
Personal property refers to anything in your house that belongs to you or your family. If your house were to flood or catch on fire, and you lost any belongings, this part of your policy will protect you. Some common items that this policy protects can include jewellery and family heirlooms, kitchen appliances, furniture and technology such as cell phones or computers.
4. Additional living expenses
This part of your policy kicks in if you are ever in a situation where you are unable to live in your house. Events such as fires, floods and electrical issues can result in a house becoming unlivable for sometimes extended periods of time. If you are must evacuate your home, this will cover you for things such as a hotel, transportation costs, time off of work and even your meals.
Additional coverage options
If you feel like you require more coverage than your policy offers, there is a large amount of different optional coverages that you can add for more protection. Here are three of the most common options added to home insurance policies:
Over 33 per cent of the North American population has fallen victim to identity theft at some point in their lifetime. This type of crime happens all of the time, and can affect its victims in devastating ways. Thankfully, a large number of home insurance policies now give you the option to add this coverage onto your policy. This will cover you for the expenses that come with identity restoration.
Some people may be surprised to know that equipment and system breakdown isn’t actually covered on your regular home insurance policy. Home Warranty coverage will protect you against the costs associated with the repairs and replacement of your heating system, air conditioning, plumbing, appliances and more.
Enhanced Water Damage
Statistics show that water damage is actually the most common cause of all home insurance claims in Canada. This option will allow you more enhanced protection and coverage if you were to face a water-related loss. Generally, most policies will cover four different aspects of water damage: overland water, ground water, sewer back-up and water and sewer lines.
When it comes to getting you the coverage you want at a price you’ll like, we have a way that can help. We get to know you and your needs, then work with Canada’s top insurance companies to find an insurance policy to fit you, so you get the home insurance protection that you want and pay for the coverage you need. And that can include additional things, such as liability for accidental damage to your neighbour’s property and coverage for additional expenses you might incur during home restoration. You’ll know you’re getting a great price thanks to the competitive quotes we’ll find for you. Your home insurance price could be even better if we bundle your home insurance with your car insurance for additional savings.
Contact your local BrokerLink broker in Oshawa for a free quote.
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