Choosing A Better Insurance Plan

An Overview Of The Various Forms Of Home Insurance Coverage

by Isabella Torres

Many people know that having home insurance coverage is a good way of protecting their properties from various risks. However, many people don't know about all the various options available for protecting homes and or their contents. Here are some of the options available for you if you are shopping for homeowners insurance:

Insurance for Standalone Homes

This is the type of coverage you need when you live in a standalone home that you own. In this case, the policy covers every structure in your compound, the fence, your personal belongings, additional living expenses, and your liabilities, among other risks. There are various subcategories depending on the level of protection you need, but you are always free to add floaters or riders to your primary coverage. Notable exclusions in the standard home insurance policy include earthquake and flood-related damage.

Insurance for Condos and Co-ops

If you own a condo or a co-op, then you have to buy insurance coverage specifically created for such homes. This is because, in a typical condo or co-op, there is a common insurance policy that covers the common areas as well as the exteriors of individual buildings. Each condo owner then has to buy individual coverage for their home's interior, personal belongings, and assets. This means condo or co-op insurance is typically lower than insurance for standalone homes because the HOA insurance coverage has covered some of the risks.

Insurance for Renters

If you are renting a home, you shouldn't assume that the owner of the property has already bought an insurance coverage that protects you. In the case of a rental home, the homeowner buys what is known as landlord coverage, which only protects the structure and the landlord liability. You also need your individual coverage to protect your personal belongings and shield you from liability claims others may raise against you. In this case, what you need is known as renter's insurance coverage.

Insurance for Unique Homes

Some homes are considered unique because they do not fit the typical definition of a standard home. A home can be considered unique because it is extremely old, it is extremely tiny, it is constructed in an unusual place (such as over water) or it is constructed with unusual materials (such as exclusively recycled materials). Such homes face unique risks that other standard homes don't face, which is why they may require specialty home insurance coverage.

As you can see, there is coverage for everyone; it all depends on your circumstances and what you want to protect. Talk to an insurance agent today or visit the website of a local insurance carrier in your area, such as, to help you purchase a suitable coverage for your home.