Understanding Your Home Insurance Options

Not all home insurance policies are created equal. Learn more about them in this post by Stewart: Schutt Law in Fort Myers and ensure you’re protecting your assets in the event of an unexpected situation. 

Why Having Home Insurance Matters

Home insurance is vital because it provides financial protection in the event of damage or destruction to a home. It can also protect homeowners from liability if someone is injured on the property. That’s why home insurance is an essential consideration for homeowners. It can provide financial protection, liability coverage, and peace of mind in the event of damage or destruction to the home.

Protecting your assets is essential when purchasing a home. That’s why Schutt Law in Fort Myers offers excellent title insurance to protect your investment if any issues with your title should arise. Call (239) 540-7007 for advice on their various title services.

Basic Form Homeowners Insurance

Basic Form Homeowners Insurance is the most basic type of homeowners insurance. It covers damage to your home and personal property caused by common risks such as fire, theft, and weather-related events. It also provides liability coverage in case someone is injured on your property. This type of coverage is typically broken down into property coverage and liability coverage. Basic form homeowners insurance policies typically limit coverage for certain property types, such as jewelry or valuable art. If you have high-value items, you may need to purchase additional coverage or a rider to ensure they are fully protected.

Broad Form Homeowners Insurance

Broad Form Homeowners Insurance expands the basic form policy, offering more protection for a slightly higher premium. It includes additional coverages such as loss of use, medical payments, and personal liability.

• Loss of use coverage
• Medical payments coverage
• Personal liability coverage

These policies typically have higher limits on the amount of coverage for certain types of property, such as jewelry or valuable art. It also covers more perils than Basic Form Homeowners insurance, like falling objects, riots, and civil commotion.

Whether you’re a new homeowner or a seasoned expert in homeownership, having a professional title agent by your side is one of the best ways of protecting your assets. Call Schutt Law in Fort Myers at (239) 540-7007 today for information on their excellent services.

Special Form Homeowners Insurance

Special form homeowners insurance is the most comprehensive form of home insurance. This type of coverage protects against all risks except those expressly excluded in the policy. This includes damage caused by natural disasters like earthquakes, floods, and landslides. This type of coverage is also known as an "all-risk" policy, as it provides broad coverage for almost any type of loss, except for those expressly excluded in the policy, such as wear and tear, nuclear hazards, war, or government action. Special form homeowners insurance policies include coverage for additional living expenses, personal liability, and medical payments.

Home Warranty Insurance

Home warranty insurance is a type of insurance that helps to cover the cost of repairs or replacement of specific systems and appliances in a home. This can include things like:

• HVAC systems
• Plumbing
• Electrical systems
• Major appliances like refrigerators, ovens, and washing machines.

Home warranty insurance is typically purchased by the homeowner and is separate from home insurance. It's important to note that home warranty insurance typically doesn't cover damage caused by natural disasters or general wear and tear. Home warranty insurance can be beneficial for homeowners as it can help to protect against the high cost of unexpected repairs or replacements. It can also provide peace of mind, knowing that if something goes wrong with a covered system or appliance, the homeowner will not have to bear the full cost of the repair or replacement.

Guaranteed or Extended Replacement Cost Coverage

This type of coverage will pay to rebuild your home, even if the cost exceeds the amount of your policy limit. This is an essential coverage to have if you live in an area with a high risk of natural disasters, as it ensures that you will be able to rebuild your home even if the cost is higher than your policy limit. When shopping for home insurance, it's important to consider the available types of coverage and your specific needs and budget. Be sure to compare policies from different insurance companies to ensure you get the best coverage at the most affordable price.

If you’re wondering about title insurance, call Schutt Law in Fort Myers at (239) 540-7007 and let them walk you through the advantages of having this coverage as a homeowner.