Why Homeowners Insurance Is a Critical Policy to Purchase

Purchasing a home is the most expensive thing that most people will ever do in their lives. It makes up a huge portion of most people’s total assets and so needs to be protected. This is where homeowner’s insurance steps in, to pay for the damages in case of a major event such as a fire. There are also other coverages on homeowner’s insurance policies to protect people such as liability coverage if someone gets hurt on their property.

As this article shares the risks of damage to a home go up during the holiday seasons. This can include fires, theft, and guests being hurt on your property due to unsafe conditions. There are a number of ways of protecting yourself and your home during the holiday season.

Top among these is being smart when it comes to fires. Christmas tree fires don’t happen that often, but they do occur which is why it pays to be smart about the lights, ornaments, and tinsel you use on your tree. The lighting, in particular, needs to be treated in a careful manner. About half of all Christmas tree fires are started by the lighting. Another 15 percent of Christmas tree fires are started by nearby heating equipment such as in-wall heaters.

You will also want to protect packages delivered to you from theft. Your homeowner’s insurance policy does cover theft, but most people have a $500 deductible so unless there is a major break-in it usually doesn’t make any sense to turn a theft claim in for one package. Unfortunately, thieves nowadays will follow delivery drivers and steal packages off porches, so it pays to make sure you are home to receive any delivered packages.

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In a place like ballwin mo home insurance policies are available through several insurance agencies. The first stop to getting quotes to insuring your home should be whichever company you have your auto insurance policy with. All insurance companies offer auto/home insurance discounts which reduce the premium on both types of policies when they are bundled together. However, it does still pay to shop around with other insurance carriers.

Another thing to be aware of about homeowner’s insurance is that if you operate a business from home you have a gap in coverage. As this article details your homeowners insurance policy is a personal lines policy. It doesn’t cover commercial activity or any equipment you use to operate your business. You should purchase a business owners policy, or BOP, to cover your business activities and the items you use in your business such as a computer and printer.

If someone comes on your property to use the services of your home-based business your homeowner’s insurance policy won’t provide coverage if they are hurt. If they trip and fall, for example, the claim will be denied. Another benefit of buying a BOP is that your general liability will be covered on and off your premises. Also, these policies include business income coverage so if you have to temporarily shut down operations due to damage to your home you will be financially protected.