3 Things New Homeowners Need in a Homeowners Insurance Policy

Congratulations on the purchase of your new home! As you bring the last of the boxes through the front door and pay the delivery company for their moving service, it’s time to start comparing homeowners’ insurance policies.

CoverHound offers customers the best homeowners’ insurance policies on the market. How do we do this? We do this by partnering with respectable insurance companies who believe in supporting their clients through the thick and thin.

Though maintaining a homeowners’ insurance policy is not required by law (unless you have financed your new home), it is highly advised. 6,000 people die every year as a result of a home accident. Every year, there are over 358k structural fires. The National Fire Protection Association (NFPA) reports that this structural damage costs a combined total of $6.7 billion a year.

If you were to be the victim of a house fire or other house-related accident, are your finances stable enough to afford the hit? You deserve coverage. Why work to own a home if it can be taken from you in a freak accident?

Homeowners insurance covers the cost of damages, repairs and medical visits.

Here are three things to look for to get the homeowners insurance policy that’s the right fit for your household and your wallet:

Policy Protections

There are several types of homeowners’ insurance, from basic coverage to comprehensive. Each package offers varied levels of financial protection. Let’s look at three:

HO-1: Basic Form: The standard homeowners’ insurance policy, HO-1 Basic form includes coverage in the following instances:

• -Vandalism

• -Theft

• -Smoke

• -Explosion

• -Fire or lightning

• -Volcanic eruption

• -Windstorm

• -Affected damage by aircraft

• -Affected damage by vehicles

The basic form of coverage covers just that: the basics. Depending on the location of your home and the environment, you could need more protection.

HO-2: Broad Form: Perhaps the most purchased of the homeowners’ insurance policies, the HO-2 broad form includes covers six additional housing accidents (in italics below) to the HO-1’s 10, for a combined total of 16:

• -Vandalism

• -Theft

• -Smoke

• -Explosion

• -Fire or lightning

• -Volcanic eruption

• -Windstorm

• -Affected damage by aircraft

• -Affected damage by vehicles

• -Plumbing/pipe damage caused by overflow

• -Plumbing/pipe damage caused by heat

• -Plumbing/pipe damage caused by freezing

• -Falling object(s)

• -Electrical discharge

• -Snow, sleet or ice damage

If you live an in area susceptible to snow storms and other natural weather occurrences, you will need HO-2 protection.

HO-5: Comprehensive Form: The most well-rounded of the homeowners’ insurance policies, HO-5 coverage includes one additional protection for a total of 17:

• -Theft

• -Smoke

• -Explosion

• -Fire or lightning

• -Volcanic eruption

• -Windstorm

• -Affected damage by aircraft

• -Affected damage by vehicles

• -Plumbing/pipe damage caused by overflow

• -Plumbing/pipe damage caused by heat

• -Plumbing/pipe damage caused by freezing

• -Falling object(s)

• -Electrical discharge

• -Snow, sleet or ice damage

• -Acts of God

Keep in mind when sorting through policies, not all are created equal. Protections against war, nuclear accidents, floods, mudslides earthquakes and the like demand another policy. If you live in an area prone to mudslides for example, you will need a policy specific to mudslide protection.

Here at CoverHound we make it our mission to match customers with affordable insurance packages they need. Find your homeowners’ insurance match when you compare today.