Homeowners Insurance Basics
Understanding your homeowners insurance policy, especially if it is your first policy, can be very confusing and intimidating. Figuring out exactly what all the exclusions, jargon, and conditions mean can take hours. Knowing what you are looking at with your home insurance policy can help to ensure that you invest in the right amount of coverage.
Your homeowners insurance policy is meant to provide coverage for liability and property risks that you face. It covers your house, other structures on your property, and your personal assets if they are destroyed, damaged, or stolen. The liability portion of the policy will provide coverage if someone else is injured on your property.
There are six types of homeowners insurance policies that are available, including HO-1, HO-2, HO-3, HO-4, HO-6, and HO-8. All of the forms offer the same liability coverage, but vary on the amount of property coverage that they provide, as well as the type of home that they will cover, such as a house or condo. The type of policy will be noted on your policy by the HO designation that is on every page of your policy.
Although all policies are very details and slightly different, they will follow the same format, which is:
- Declarations Page
- Definitions
- Section I – property insurance
- Section II – liability insurance
When you invest in a home insurance policy, make sure to take the time to read the entire policy. If you have any questions about the coverage that it provides, make sure to ask your insurance agent so that you can rest assured that you have the coverage that you deserve.
Contact Phocus Companies in Phoenix, Arizona for all you homeowners insurance policy. We will work with you to make sure that you fully understand your coverage and your policy is working best for your specific needs.
