Owning a home for the first time or the thirtieth is an exciting time for most people. The opportunity to invest in your future life in a city comes with many things to consider beyond the home itself. Investing in homeowners insurance helps you protect your new or old investment in the event disaster strikes. Here are some things to know about having homeowners insurance.
If you plan to finance your home, the mortgage company requires you obtain a homeowners insurance policy. The homeowners insurance Lodi CA offers protection for the lender in case something happens to the home. The home loses value if disaster strikes. The insurance protects the investment the lender has made in the home until the mortgage is paid of.
Some homeowners insurance policies may restrict your coverage for specific breeds of dogs. Those breeds such as pit bulls and Rottweilers who are known for fatally attacking humans may be completely excluded. The insurer may deny you coverage or raise your rates if you own one of their blacklisted breeds.
Many insurers offer policies with lower premium rates but higher deductibles. The lender wants the homeowner to foot part of the bill if disaster strikes. However, they want to ensure that the homeowner can pay the amount. Your insurance agent may stipulate certain deductible limitations on the policy.
Homeowners insurance doesn’t cover everything. There are policy exclusions beyond dog breeds incorporated into most policies. While the policy typically covers fire, theft and vandalism, the policy may not cover mudslides, earthquakes or floods. Go over your policy with your insurance agent to see what additional policies or riders your home needs to lower your risks.
Protecting your home investment may seem daunting, but an experienced insurance agent can help you walk through the coverage options. While you hope to never have to use it, the insurance can bring peace of mind if you ever need to use it.