When you think of “homeowner’s insurance,” you probably think about the cost of rebuilding your home and mostly everything inside. That’s one of the biggest things covered under most standard policies. However, there are many other things that are typically covered as well when you have homeowners insurance.
Homeowner’s insurance in California can help cover several types of expenses if you have a disaster at home. These include:
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Loss of Your Home’s Structure and Its Contents
If a hurricane, fire, earthquake, or other disaster results in damage to your home, your homeowners insurance will typically cover the cost of rebuilding it, along with replacing your belongings that were damaged or destroyed.
The exact amount you’ll receive will depend on the amount of coverage you have and your policy’s “coverage limits.”Note that homeowners insurance doesn’t cover the full cost of replacing your home, but it can help you get back on your feet after a disaster.
Loss of Other Structures on Your Property
If a tornado or other storm results in damage to a structure other than your home, such as a shed, garage, barn, or other structure, your homeowners insurance will typically cover the cost of fixing or replacing it. As with damage to your home, the amount you’ll receive will depend on the amount of coverage you have and your policy’s “coverage limits.”
Loss of Your Personal Belongings
If a sudden disaster, such as a fire or flood, damages your belongings, you’ll typically have to pay out-of-pocket to replace them. However, if you have a planned event, such as a water leak or excessive dust, you’ll probably be able to file a claim with your homeowners insurance. Again, the amount you’ll receive will depend on the amount of coverage you have and your policy’s “coverage limits.”
Other Costs Related to the Disaster
Depending on the type of disaster that occurs, your homeowners insurance in California may also cover other costs related to it, such as:
- Cleanup: Depending on the type of disaster, you may be responsible for cleaning up the damage yourself. However, many types of disasters result in state- or federally-declared “public health emergencies,” which can trigger your homeowners insurance to cover the cost of cleanup.
- Temporary living costs: If you have a disaster that results in the need to live elsewhere while your home is repaired, your homeowners insurance may cover the costs of staying at another location. If a disaster results in your having to stay in a hotel, this coverage may help defray its cost. If a disaster results in the need to stay at a motel or other temporary housing, this coverage may also cover those costs.
Liability Protection for You and Your Family
In most states, homeowners insurance also provides liability protection for you, members of your household, and anyone who visits your home. If someone on your property is injured due to your actions or the actions of someone in your household, your homeowners insurance will cover the cost of their medical bills. It may also cover the cost of any legal action brought against you by the injured person.
This coverage is important for everyone in the household, not just the person responsible for the injury. It protects you and every member of your family from incurring large expenses due to a lawsuit over an injury suffered on your property. It also helps keep your premiums as low as possible since insurers view this coverage as a “reluctant payer.”
Homeowners insurance is a crucial part of being a homeowner. It protects you financially in the event of a disaster, such as a fire, flood, or earthquake. Before you buy homeowners insurance, it’s a good idea to understand exactly what types of coverage are included in your policy and how much coverage you should have.