Bulgarian Properties Directory

Do you really understand home insurance. Particularly do you know if you need a homeowners policy? A family that resides in a home that they own will have different coverage needs then a family who rents a home. Similarly, landlords and people who own condos may not need all of the coverage the people who live and own in stand alone houses do. You will get the best coverage at the most affordable price if you know what you have to cover, and what things are already covered by another policy!

Homeowners who live in their home need the most comprehensive coverage. Of course they need to protect the building against damage by an accident or storm. They also need to protect the contents of the home, and this area probably gets a sizable amount of claims. Items in the home could be stolen or damaged. The third thing they need to have is protection against liability of a person who gets hurt in their home. If your neighbor trips on the toy your child left in the living room, can you cover the emergency room visit? You may have to if they file a suit. These things happen.

Now the needs of landlords and renters will be a little different. Landlords need to cover the building, since that is their property. And certainly, they will want to cover a some liability against a claim of injury. However the landlord should not be responsible for personal property of the tenants. The renters, on the other hand, will want to cover their own personal property, and have liability protection. So a landlord should ask about a landlord policy, and a renter should ask about a renter’s policy.

Condo owners have a unique situation. The building association will usually carry a policy that protects the building, so it is important to understand what parts of the building they cover. The owner of the condo, themselves, will carry a policy that is similar to a renters policy even though they own their own space. They must insure their personal property, and have some liability protection.

If you understand the three parts of your own home insurance: building, personal property, and liability, you should be able to understand what sort of coverage you need when you compare home insurance. Keep in mind, that many policies do not cover floods from storms, especially in storm prone areas. That would be a flood protection plan you would need to look into. If you work out of your home, or especially run a home business, you may need additional coverage limits beyond basic protection too.

By: Marilyn Katz

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