Home Insurance Policies in USA

Home Insurance or homeowners Insurance, offers protection for the insured house and also the property on which it stands. The policies cover different perils depending on the type of policy chosen and some even covers any sort of accidents that may occur in the insured house or its premises. But most often certain perils are specifically excluded in the policy and hence it is always advisable to opt for a policy which offers coverage against the perils which is very much needed for your house than going for one which offers protection against every other peril. The coverage of perils that may be most needed by you differs and this may depend on the geographic location of your house, the climate and even the time the house was built.

How to choose a policy

There are a number of homeowner's policies available for the residents of the United States of America. The coverage, the premium amount and other details regarding each policy may differ depending on the company offering it and the perils it covers. Always choose the right one and the ones that offer protection against the perils which you need; never go behind policies that offer protection against the perils which you might never need just because somebody else has chosen it.

The internet allows the comparison of different policies available in your state by online comparison program. You can get the best policies for your home depending on your needs and on the type of house you would like to insure. Always choose wisely from the many number of home insurance policies offered at your locality. Comparing different policies and contacting as many friends and relatives who have taken a similar policy for their house will always help to choose the best policies for your house. And if ever any one of them had got their claims regarding the home insurance settled, know from them the details of when and how the company settles the claim. This will also help to make your choice easier.

Parts of the home insurance policies coverage

The home insurance policies in USA cover three main parts:

  • Dwelling: It covers the dwelling or the house and all the attached or built in structures and the homeowner's policy may replace or repair these structures which are covered in any case of damage.
  • Personal property: home insurance policies cover the personal belongings like furniture, valuables etc in the house. To what extend the coverage is offered to the personal belongings depends on the dwelling coverage amount. Many insurance policies though provide coverage against damage or loss of every valuables in the house, are usually found to be reluctant in providing insurance coverage against any jewelry loss.
  • Liability: the third part of the home insurance policy is the liability coverage that protects the house owner against any accidents that might occur on the house premises and also pays off to any third party in case of accidents.

There is also an additional coverage which may be offered by a home owner's insurance policy which sees to the momentary homelessness during the times of disaster which are covered under the policy.

Types of home insurance policies

There are a number of types of home insurance policies offered by different insurance companies in the United States. The seven main types of policies in the United States of America include:

HO 1, Basic Form home owner's policy
HO 2 – Broad Form Homeowner Policy 
HO 3 – Special Form Homeowner Policy 
HO 4 – Renter's Insurance
 
HO 5 - Premier Homeowner Policy
 
HO 6 – Condominium Policy
 
HO 8 – Older Houses

Each of these different home owners' insurance policies covers different perils and provides protection during different situations. When some provides insurance against a few basic perils, some offers a wide range of protection, when one provides insurance in case of buying older home which needs renovation; another one insures the home which is rented.

So it is always better to spend a bit of time going through the different policies and finding out what exactly they offer and what are the benefits you will be enjoying, if you choose a particular policy over the other policies?

It is always better to spend a few hours or even a bit more on choosing the policy so that you won't have to spent a lot of time on getting the claim amount settled at time in the future, and that too with minimum difficulty and maximum protection.