Homeowners Insurance California policy is a form of insurance that covers losses and damages within your property. It also covers liability or legal responsibility for any injuries and property damage caused to other people. Here is an aspect of coverage in more detail:
Sometimes called “dwelling insurance," is the part of your homeowner’s insurance policy that offers protection as a result of damage to the structure of your home. It also includes attached structures like your garage, a deck or front and back porch as long as they are attached to your house.
This covers the personal property stuff you own such as furniture, clothing and electronics in the event of a covered loss. It also extends to the stuff friends or family may temporarily have left at your place. For example, say a burglar broke in and stole your friend’s mobile phone. It would be considered personal property under your policy when it was stolen, and your home insurance policy would cover the loss.
Replacement cost for homeowners insurance is the amount of money it would take to replace your damaged or destroyed property. It provides you with a payment comparable material and quality equal to that which would be required to replace the lost items.
Actual cash value is often defined as the “fair market value”. It compensates you for the value of the item at the time of the loss. Deprecation will be factored into your payment.
Also known as additional living expenses (ALE) provides a safety net for additional expenses over and above your normal living expenses while your home is being repaired or rebuilt in the event that a covered loss. For example, if your house was burnt down and becomes uninhabitable, your loss of use coverage would reimburse you for the cost of a hotel, up to your coverage limit. Make sure to review your home insurance policy or renters’ insurance policy if you are adequately covered.
Personal liability is a portion of your homeowners’ insurance policy that covers the cost of bodily injury and property damage sustained by others that you or other people covered by your insurance policy are legally responsible. It will also cover the cost of medical expenses and defending a lawsuit if you are sued up to your policy limits. If you want more coverage, consider purchasing umbrella insurance which provides broader coverage and higher liability limits.
Let’s say your dog bites your guests on your property, your guests could choose to sue you for related expenses, including medical bills, lost wages and emotional distress. The homeowners, renters or condo policy generally can provide of necessary expenses for guests who are accidentally injured on your property.
Property damage liability covers the cost of damage you do to someone else’s property. For example, your child accidentally throws a baseball through the neighbor’s window and it damages their television. Property damage will cover the payment for the window and the television up to policy limits.
Standard Homeowners Insurance California policy typically excludes flooding, earthquakes, war or intentional loss. Homeowners with these specific perils often need to buy a separate policy endorsement. It’s better to take the time to understand what your insurance policy covers than stuck in an unfortunate situation. Let us help you select the types of coverage and limits that make sense for you. Contact us at (844) 234-5600.