Financial Loss:
Your home insurance will refund you if your home or personal property are stolen or if any other an unexpected situation that is
specified under your property insurance policy occurs.
If an unexpected situation, like a fire, does arise, your home and garage will likely need to be fixed. You will be reimbursed for the value of items, such as furniture, cameras and computers-or the items themselves will be replaced.
If you cannot live in your home while it is being fixed after a loss, your house insurance will pay for some of your supplementary living expenses, such as accommodations, restaurant meals and storage.
Personal Liability: If someone is injured while visiting your home, they could sue you for damages. If they win and a court awards them a large settlement, you could be financially ruined. Your wages could be garnished and you could have a hard time getting back on solid ground. Property insurance shelters against this kind of liability.
Your home insurance will also protect you against liability for accidental
damage to someone else's property. For example, if you live in an apartment
building and your bathtub overflows, resulting in damage to your neighbour's
apartment, your home insurance will pay for repairs or replacement.
If you rent your home or own a condo unit, you might feel that investing in
a home insurance quote is needless. If you are just starting out and renting
your first place, you might believe that you have nothing of real value that
needs replacing should something like a fire occur. If you own a condo unit,
you might believe that your condo corporation's home insurance policy has
you covered. Here is why whether you rent or own a condo, purchasing a home
insurance policy is a good move.
Tenant Insurance
If you rent your home, you may think you don't need to bother with
property insurance. Unless your landlord is directly responsible for the
damage to your belongings or unit improvements such as a new carpet or
built-in shelving in the closets that you paid for, his insurance likely
won't reimburse you. It also won't protect you if you are sued for
negligence.
Condo Insurance
If your condo corporation has insurance, you may wonder why you need to
purchase your own coverage. Here's why:
- Your condo's corporation policy only covers items that are part of
the building. You need your own home insurance to protect any upgrades you
have made to the unit, such as carpets or an upgraded bathroom or kitchen.
- You need to insure your personal property like furniture, computers,
and other electronics. You need to protect yourself against personal
liability for injuries to visitors to your home, or for damage you
accidentally cause to your neighbour's property.
Whether you make your home in a house, a condo, or a rental unit, the best
way to protect it, your property and your liability is to purchase home
insurance.
One thing to keep in mind when shopping around for a home insurance
quote-there is no such thing as a "standard" home insurance policy. home
insurance coverage varies significantly from one insurer to another.
Companies that sell home insurance compete for business on coverage, service
and price.
