What is the homeowners insurance rate? The homeowners insurance rate is a package policy is a policy that covers both your house and your belongings. This means it covers both property damage and liability, or legal responsibility, for any injuries or property damage caused to others by policyholders or their families. This includes pet-related harm. The majority of disaster damage is covered, but there are some exceptions. Flooding, earthquakes, and poor maintenance are not covered by standard homeowner policies. Although flood insurance is purchased through an insurance agent, it is provided by the federal government’s National Flood Insurance Program. Earthquake insurance can be purchased as an endorsement or as a stand-alone policy.

What does it cover?

Coverage for the home’s structure: If a home is damaged or destroyed by fire, hurricane, hail, lightning, or another disaster listed in the policy, this section of the policy pays to repair or rebuild it. It won’t cover damage from a flood, an earthquake, or normal wear and tear. Most standard policies also cover structures such as a garage, tool shed, or gazebo that are not attached to a house.

Personal belongings coverage: If your furniture, clothes, sports equipment, or other personal belongings are stolen or destroyed due to a fire, hurricane, or other insured disaster, you are covered. Most insurance companies cover 50 to 70 percent of the cost of a home’s structure insurance. Off-premises coverage is included in this section of the policy. This means that unless the policyholder opts out of off-premises coverage, their belongings are covered anywhere in the world. Jewelry, furs, and silverware are usually covered, but there are usually dollar limits if they are stolen. Individuals can purchase a special personal property endorsement or floater to insure these items for their full value and insure the item for its appraised value.

Liability insurance: Liability insurance protects policyholders and their family members from lawsuits for bodily injury or property damage they cause to others. It also covers pet-related damage. Up to the policy’s limit, the liability portion of the policy covers both the cost of defending the policyholder in court and any court awards.

What are my options for coverage?

Actual Cash Value: This policy covers the cost of replacing the home or personal belongings, minus depreciation.

Replacement Cost: This policy covers the cost of rebuilding or repairing the home, as well as the cost of replacing personal property, without taking into account depreciation.

Extended Replacement Cost: This policy provides the most comprehensive coverage. A guaranteed replacement cost policy covers the cost of rebuilding the home as it was before the fire or other disaster, even if the cost exceeds the policy limit. This protects against unexpected increases in construction costs due to a shortage of building materials following a large-scale disaster or other unforeseen circumstances.

If you have any questions about auto insurance and or home insurance feel free to reach out to us at (888) 751-7511 or https://www.lafamiliainsurance.com/contact!