Your Home is a Big Asset, Better Insure It Big Time

Real estate in general has made a modest recovery since the housing fiasco in 2008. Residential housing has also enjoyed some appreciation in certain areas of the country. Your home is one of your largest assets, perhaps the largest, and it needs to be fully protected.

The contents of a typical home: furniture, appliances, clothing, family
heirlooms, and other movable personal belongings,
represents a substantial additional investment. The unprotected loss (or partial loss) of a home and its contents to theft, fire, windstorm, or some other disaster, could be financially devastating. Many mortgage lenders require homeowners insurance, to protect the dwelling, as a condition of granting the mortgage. Additionally, everyone faces the risk of personal liability. For example, a visitor to the residence could slip and fall. Such accidents can result in court decisions awarding large sums to the injured party for medical expenses, and “pain and suffering.”

In different parts of the country, there are exclusions that need to be considered like earth movement, water damage, flood damage, mold exclusion, war, nuclear hazard, neglect and intentional loss. You may need to buy supplemental coverage for certain events if it’s available. Home ownership is part of our culture. It’s also part of our financial balance sheet. But not everyone owns a home, some rent.

 Many people rent homes, apartments, condos and trailer homes but fail to consider
insurance, usually because they are not making an
investment in real property. However, the contents of a
home, in the form of furniture, appliances, clothing, family
heirlooms and other movable personal belongings, often
represents a substantial investment. The unprotected loss
(or partial loss) of a renter’s personal property to theft, fire, windstorm or some other incident could be economically catastrophic, so it’s important to secure the right coverage. For that you’re going to need the right agent.