The Types of Extra Damage Coverage You Need for Your Home

One of the most significant investments you can make is owning a home. But, with significant investments comes great responsibility. One of those responsibilities is purchasing the correct type of home damage coverage to protect you and your home. Let’s review the types of coverage commonly offered by insurance companies to help you determine what type of coverage is best for you and your home.

How Much Coverage Do you Need?

Before you purchase coverage, it’s essential to understand what the coverage includes and how much damage the policy can cover. Generally, a home damage insurance policy covers damage caused by fires, lightning strikes, hail storms, explosions, tornadoes, and other natural disasters. It’s also important to determine if your policy covers damage caused by vandalism and burglary.

Why Should You Consider Extra Damage Coverage?

Extra damage coverage is also beneficial for instances in which damage was caused by plumbing or electrical problems. This type of coverage may be essential if you live in an area prone to flooding and other water damage. It can also help protect your home from damage resulting from mold, termites, and other pests.

What Are the Benefits of Home Damage Coverage?

Having adequate damage coverage can provide the peace of mind that comes with knowing your home is protected. It can help you avoid paying for expensive repairs out of pocket if damage occurs and provide coverage for any damage that’s not covered by your primary policy. Additionally, damage coverage may help you avoid lawsuits resulting from damage caused to other people’s property or injury to others on your property.

Now that you understand why you should consider adding additional damage coverage to your insurance policy let’s jump into what additional coverage you should consider.

Types of Additional Coverage

Flood Insurance

Most standard homeowners policies do not cover damage caused by floods, so it’s important to purchase a separate flood policy if you live in an area prone to flooding or even just near bodies of water like lakes and rivers. Flood insurance usually covers both physical damages caused by flooding and clean-up costs associated with flood damage restoration, including debris removal and repairing/replacing electrical systems and plumbing affected by the flooding event.

Earthquake Insurance

Earthquake damage is generally not covered under a standard home damage policy. Therefore, if you live in an area at risk for earthquakes and tremors, it’s important to consider purchasing earthquake coverage. Similar to flood damage, earthquake damage coverage can protect against physical damage caused by the event as well as the clean-up and restoration process.

Umbrella Liability Insurance

Umbrella liability coverage is an additional layer of protection that provides coverage beyond what’s offered in a standard home damage policy. This type of coverage helps protect you from financial losses due to damage claims made against you if someone is injured while on your property or damage is caused to someone else’s property.

Mold Insurance

Mold damage coverage is a type of home damage policy that covers damage caused by mold and mildew. This coverage can help you pay for costly repairs associated with removing and repairing damage caused by mold growth in your home and any potential medical expenses due to health concerns related to the damage.

Extra Contents Insurance

Extra contents coverage is a policy add-on that provides coverage for damage to items in your home that exceed the limits of what’s covered in your standard policy. This type of coverage can be beneficial if you have expensive items, like jewelry or artwork, that you would like to insure beyond the limits of your current home damage coverage.

It’s important to remember that damage coverage can vary depending on the insurance provider and the type of policy you have, so make sure to do your research before committing to a home damage policy. Additionally, it’s always wise to speak with an insurance professional who can help you determine what coverages are best for you and your home. With the right damage coverage in place, you can rest assured that your home is protected against the unexpected.

Final Thoughts

Understanding what type of coverage is available when protecting your home from potential damages and liabilities is essential. Property damage insurance will cover any physical damages caused by natural disasters, while liability insurance will protect against potential legal claims resulting from accidents occurring on your property. Additionally, you should consider flood insurance if you live in an area prone to flooding since this isn’t generally included in standard homeowner’s policies. Ultimately, selecting the right type of coverage depends on how many risk factors a particular home has. So be sure to shop around for options before deciding what type(s) of coverage you need for your home!


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