There are a few different kinds of dwelling insurance coverage. You may think that all insurance policies are about the same, but that isn’t true. Each policy has its own particular benefits and limitations. This is why it’s important to understand the different types of dwelling insurance coverage before you purchase a policy. If you do your homework, you’ll have nothing to worry about.
Probably one of the most important dwelling insurance coverage parts is the physical dwelling itself. The perils of this cover, though, aren’t just the importance of that word itself; they’re also the limitations of the policy itself. So, what exactly is dwelling insurance coverage, then? The term dwelling typically refers to the insurance policy includes its attached detached buildings and your actual dwelling.
Just what are the dwelling insurance coverage limits? Your insurer may set these limits up front, or you might be able to request them. Usually, you’ll find these limits listed right on the policy. Sometimes, your insurer will supply you with the details; other times, you’ll need to ask.
One reason why you may need to request dwelling insurance coverage is if your dwelling is destroyed due to a hurricane or fire. Though this type of damage often happens to homes near rivers and creeks, it can also happen to homes near detached structures such as garages and attached garages. Typically, these structures cost more to build, so you’ll need additional coverage to make them whole again. For that reason, it’s wise to be sure you’ve got enough dwelling coverage.
However, it’s not always easy to know just how much dwelling insurance coverage you need. For that reason, you may want to consult with your insurance agent. Insurance agents can help you obtain the correct amount of coverage. Usually, they can also make suggestions about what kinds of dwelling insurance coverage to purchase, as well as which ones might be unnecessary.
The two basic types of dwelling insurance coverage are liability and property damage. Liability protects you from lawsuits as a result of personal injury or property damage that happens to you. Most policies also cover legal fees for injuries that occur on your premises. Property damage, on the other hand, focuses on protecting you against damage to the actual structure itself. This could include such things as the roof, walls, floors, windows, insulation, and similar items. Different policies offer different coverage limits for both of these types of risks.
Permanent dwelling coverage applies to any structure that is attached to your home. This might include detached garages, attached storage sheds, workshops, and other similar items. This type of coverage usually covers damages that occur to these permanently attached structures due to a fire, explosion, or other cause. It is important to note, though, that this type of coverage may not always apply if the items you are attaching to your home were installed by a professional. If your garage or storage shed were built by you, then it is most likely permanent dwelling coverage, regardless of whether it was professionally installed or not.
Condo owners also have the option of purchasing homeowner’s insurance. Homeowner’s coverage pays the same amount of money to homeowners as dwelling coverage does to renters. However, it is worth noting that the coverage limits for condos and other types of rentals may be a lot less than the ones available to homeowners. As with homeowners, however, some condominium associations limit the amount of coverage that their renters can get. In order to get the full amount of homeowner’s coverage that you as a renter should have, contact your condo board of owners for more information about how your condo or sublease agreement affects your ability to collect from your landlord.