Should you have Homeowners Insurance?
Owning your own home can be very expensive. Prices stack up on what seems to be endless fees and hidden costs to the point where potential buyers almost shy away from their dreams of home ownership. With all these costs and fees, it’s easy to see why some people see homeowners insurance as just another useless fee. This can be a dangerous misconception, because unlike auto insurance, most states do not require homeowners insurance to purchase or own a home.
However, most banks or mortgage companies will require anyone purchasing a home through their company to purchase homeowners insurance for the duration of their loan or mortgage. This requirement makes a lot of sense when you examine the issue from their point of view. Homeowners insurance protects against anything that could happen to your home, including burglary and fire. Even more, homeowners insurance is very important for anyone living near the ocean, like many people in Florida, because of their increased chance for natural disaster. This makes it sometimes difficult to even find homeowners insurance in Florida. There is a website that specializes in Home insurance in Florida that is guaranteed to find you the best policy possible.
What Exactly is Homeowners Insurance?
Homeowners insurance is an insurance policy system that protects those who own their home from expensive bills accrued from fire, natural disasters, theft or similar disasters. Without homeowners insurance, those who lose their homes in a fire, for example, are left to pick up the pieces by themselves. This often means purchasing a whole new home and buying all new belonging again, assuming the family can even afford a loss of that magnitude. Losing a home in a fire is a tragedy that is hard to overcome. But for those with homeowners insurance it can at least be fiscally bearable. If the home is lost, insurance will often cover the cost of finding a new place to stay as well as cover the cost of many of the belongings lost.
The cost of Florida homeowners insurance will be calculated on potential risk. Areas with more dangerous weather conditions will pay more than someone in a mild climate. The placement of the home will also effect costs, for example, a home very close to lake or river will have increased rate because of the increased chance of flooding.
Who Needs Homeowners Insurance?
Nobody who owns their home should go without homeowners insurance. Even if your home is relatively new and well maintained, guest injury and natural disasters are practically unpredictable.
Unfortunately, as far as state averages are concerned for homeowners insurance, Florida rates are relatively higher and more expensive than many other states. This is in part to the warm climate and penchant for natural disasters from the ocean. Those who live especially near the beach will be required to purchase special insurances to protect against hurricanes and tropical storms whereas someone living much farther north is unlike to have to purchase these protections.
What does Homeowners Insurance Do?
Florida homeowners insurance is crucial in several situations. In the case of a natural disaster, homeowners insurance will help pay for the lost structure as well as many of the belongings inside. This is often enough for a family to reestablish themselves.
Another important situation that many people forget about the importance of their homeowner’s insurance policy is in the case of injury on the property. Often, homeowners will be held liable for injuries they sustain by others on their property. This law has been pushed and tested over the years, however courts usually uphold the theory of homeowner liability. This means if someone is on your property, sometimes even with your knowledge, and they hurt themselves you can be forced to cover their medical bills, pain and suffering costs and lost wages. This can quickly become an expensive bill, even if fought in court. But for those homeowners who have insurance, their policy will cover even this expense.