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Home Insurance - What Coverages Do You Have?Home insurance, also known as homeowner's insurance or renter's insurance, is an important kind of residential insurance that protects a home. It is designed to protect the property and belongings of the home owner. This kind of insurance has two distinct parts: the property coverage and the liability coverage. These two parts protect different areas of the home and can be purchased separately or in a combined home insurance package. Both kinds of insurance cover different aspects of the home. Property coverage, which includes liability, physical damage, theft and personal injury protection, is the more common part of a homeowner's insurance policy. This protects against fire, smoke, hail, vandalism and other damages to the property. Liability coverage, on the other hand, protects against bodily injury or death caused by the property of the homeowner. In order to receive full liability protection, most homeowners insurance policies will include the following kinds of accidents: fire, lightning, windstorm, explosion, flood, vandalism and assault. When it comes to protecting possessions within the home, most top home insurance companies provides some level of protection against burglary, vandalism and theft. The amount of protection will vary depending upon the policy. Most basic homeowners insurance policy includes protection for a burglary or theft. However, there are some policies available that provide full coverage for a variety of crimes including: arson, malicious mischief, possession with intent to distribute drugs or alcohol, theft, housebreaking and vehicle theft. Home insurance also covers damage due to earthquakes, floods, windstorms, hurricanes and other weather-related events. Certain disasters such as hurricanes, tornadoes, snow storms and earthquakes can cause huge damage to a home. Some insurance companies offer long-term replacement value warranties, which are worth the difference between the actual cash value and the replacement cost. This means that if your home is destroyed and you still owe on it, your homeowners insurance will pay you back the difference. For more specific information regarding long-term replacement value warranties and the exclusions involved, you should consult with your insurance provider. Discover more facts about insurance at http://www.huffingtonpost.com/topic/car-insurance. Another coverage that is commonly included in a homeowner's insurance policy is medical payments coverage. Medical payments coverage may pay for expenses incurred due to accidents, such as hospitalization, surgery and advanced life saving treatments. It may also pay for certain medical treatment paid for by a healthcare provider out of pocket. Medical payments coverage may be useful, especially when you have a chronic illness or injury that requires constant treatment, regardless of the ability to pay for such services yourself. However, medical payments coverage may be excluded in certain circumstances. Renters insurance also provides coverage for personal liability. This type of coverage may pay for damage or injury caused by you, your household members or pets. The limit of coverage may depend upon the type of insurance policy you have taken out. It may also differ depending on whether or not you have added additional homeowner's insurance on top of the personal liability coverage. |