How to know if your Insurance provides you Adequate Protection

Since a house is generally considered a person’s biggest asset it would stand to reason that homeowners pay close attention to their insurance policy covering the home. Unfortunately with so many options, policies and exemptions many homeowners are under the false impression that having homeowners insurance provides coverage for any and all issues. This of course is not the case. It is important if you are a homeowner that you know exactly what is covered and what is not to avoid a costly surprise in the event a claim is denied. The following situations are generally not covered by most homeowners insurance.

Damage from pests.

Most insurance policies do not include coverage if your house has damage due to termites or other pest infestations. Mold related issues. Once covered but now dropped by many insurance companies, mold issues are not generally covered. Along the same lines damage from water is either limited or not included at all on most policies.

Natural disasters.

If you live in a location that is prone to certain natural disasters such as hurricanes, flooding, fire or earthquakes you will more than likely have to purchase special insurance to cover damage from natural disasters. Sewer systems. If you have a sewer backup or a line that breaks you are pretty much on your own to pay for the cleanup and repair. While it is not included in most policies you can add the coverage for a fee.

Terrorism, war or nuclear accidents.

No one wants to think of dealing with any of these issues including your insurance company.

Pets.

While you may feel like your pet is a part of the family, your insurance company will likely not cover any bills as a result of your animal being hurt or even stolen from your property. Your insurance company will however pay attention to the breed of dog you have and charge more if you have a breed that is considered dangerous.

Vehicles.

Homeowners’ insurance does not cover cars, boats, or other vehicles that are stolen or damaged on your property.

Neglect.

If you allow your home to fall in disrepair and as a result have structural or other damages, your homeowners insurance will not cover replacement or repairs.

To make sure you have the right amount of coverage you have to carefully read your policy and ask questions if you are unsure. In most cases you can buy additional insurance to cover certain issues that are not included in your regular policy. It is better to know in advance what coverage you have than to find out after your home has been damaged.