Homeowners Insurance

Your home may be one of the most expensive and significant financial commitments you make throughout your life. Like any other investment, homeownership comes with many risks and exposures that could lead to devastating losses. So understanding, acquiring and maintaining suitable home insurance should be a priority.  

How Does Homeowners Insurance Work? 

As its name suggests, home insurance focuses primarily on financially protecting your home and family from common incidents that may lead to losses. This coverage, also known as homeowners insurance, casts a wide safety net across various risks and exposures, such as the following: 

• Fires

• Smoke damage

• Lightning

• Hail

• Theft

• Vandalism

• Explosions

 

In addition to covering the structure of your home, most policies also include coverage for your personal belongings, such as furniture, clothing and electronics. Furthermore, home insurance can help pay for losses involving additional structures on your property (e.g., detached garages, sheds) and may render financial assistance if you or another insured are liable for another party’s losses. 

How Do Home Insurance Claims Work? 

While you may never experience an incident that requires you to file a claim against your home insurance, such situations may be inevitable. It’s important to note that there are a few different types of claims you can make: a property damage or loss claim, a liability claim, and a loss of use claim. Each is handled differently.  

Property loss claims are generally the most common. To help make the process as smooth as possible, you should understand what to expect. Typically, submitting a home insurance claim includes the following steps: 

1. Report losses—If you or another person listed on your policy are involved in an incident and face financial losses, you should report them to your insurance company as soon as possible. 

2. Submit proof—Compose a detailed inventory of damaged or missing items, including photographic and video evidence. Save any invoices, estimates or receipts you’ve received from contractors or other repair/restoration services. 

3. Expect a visit—Your insurance company will typically dispatch a claims adjuster to your home to inspect your losses, examine your policy and determine your resulting payout. 

4. Receive payment—If approved, your insurer can provide financial assistance up to your home insurance policy’s limit, not including your deductible. This amount may be provided in a single lump sum or a series of payments. 

The process may differ if you submit a liability claim against that component of your home insurance policy. Contact your agent for more information. 

How Much Home Insurance Do I Need for a Mortgage? 

If you took out a mortgage to purchase your home, you can generally expect your lender to require you to maintain minimum levels of home insurance coverage. In most cases, your lender will at least require that you maintain coverage capable of paying the total cost of rebuilding your home, including material and labor costs. You and your insurer may need to reassess your home insurance needs regularly to ensure you continue to comply with these requirements. 

Get the Right Coverage 

At InsureAll of West Texas, our staff has over 50 years of combined experience helping individuals, families and businesses acquire optimal insurance solutions. We will work with you to assess your circumstances, explore your coverage options and craft suitable home insurance at an ideal price. Contact us today to get started.