Every homeowner should be well aware of the common homeowners’ insurance exclusions before purchasing one. It is your right as a homeowner to fully understand what the home insurance policy entails and also know what is excluded in this policy.
Knowing such information will help you make informed decisions regarding your property and will also help you to choose the most appropriate home insurance policy for your property. The following are some the most common home insurance exclusions that you should be aware of as a homeowner.
Natural disasters
These include floods, landslides, earthquakes and hurricanes among others. It is important to note that flood insurance falls under exclusions in most standard home insurance policies. This also means that it is advisable for you to buy a separate flood insurance policy that covers natural disasters such as hurricanes, floods etc.
You will also be required to buy a separate insurance policy which cover earthquakes and landslides. Otherwise, you will not get any compensation in the event that your home is damaged by natural disasters such as an earthquake or a landslide.
Mold damage
Most home insurance policies exclude mold damage. This is mainly due to the fact that most insurers believe that mold damage is a problem that grows overtime. Insurers therefore put full responsibility on the homeowner to ensure that all the necessary preventive measures are taken in order to stop mold spores from spreading.
Mold can cause serious structural damage to a property if it is left to spread and it can also cause severe health complications to the occupants of the home. This is why no insurer is willing to include mold damage in a home insurance policy.
Owning fierce dog breeds
As a homeowner, another exclusion that you should watch out for in your home insurance policy is ownership of fierce or aggressive dog breeds. This might sound weird, but the truth is no insurer will be willing to cover your dogs in your a home insurance policy if you own certain dog breeds.
This is mainly due to the fact that dog breeds are likely to cause more damage because of their aggressive nature. Examples of aggressive dog breeds include doberman pinschers, pit bulls, rottweiler’s and bull dogs. If you own or are planning to acquire a dog breed that falls into a category mentioned above, then you should be ready to be charged more for your home insurance coverage or denied coverage.
Unkempt property
As a homeowner, you are expected to take good care of your property by ensuring that repairs are done and whatever needs to be fixed is taken care of. Most insurers will be reluctant to sell you a home insurance policy if they suspect that you have neglected your property, which can be a potential danger to the occupants.
Neglect can also cause financial losses to the insurer if the property gets damaged. For example, in the event that your house collapses because of termite invasion which could have been prevented, then you will automatically become financially responsible for any financial losses incurred in such a scenario.
Theft or damage of luxury items
Most insurers will not cover luxury items such as jewelry, antiques, collectibles and memorabilia under the standard home insurance policy. This might require you to buy separate theft liability coverage if you own such items.
Deliberate damage by an occupant
The home insurance policy will also exclude the damage caused by a resident on the property with intentions to destroy. For example, if you have an argument with your spouse and he/she decides to flood the house with water or set it ablaze, then you will become fully responsible for paying for any damage caused.
Damages caused by power outages
Insurers expect you to be responsible enough to either use surge protectors in your home or unplug of electrical appliances until power is restored per InsWeb, Inc. Any slight electrical fault can cause your electrical appliances to blow and malfunction which can cause them to stop working.
Damage caused by terrorism or war
If your home is attacked by a foreign army or is destroyed by a terrorist attack, then your insurer will not cover your home for such damages. However, if your home is damaged during a riot, then you will be compensated by the insurer for the damage done.
The above given exclusions should guide you as a homeowner and also give you an idea on what is not covered in the home insurance policy. It is therefore important for you to carefully read through the home insurance policy before you buy one.