Homeowner Premium Policy Coverage: What Is and Is Not Included

Did you know insurance didn’t cover a large percentage of damage from Hurricane Harvey? If you want to learn what will get included in your premium policy, we can help.

In this guide, we’ll go over what to expect in your homeowner’s insurance coverage.

Want to learn more? Keep reading.

What About Standard Homeowners Insurance Coverage?

Standard homeowners insurance policies give coverage to replace or repair your home. The damaging event could include things like fire, smoke, vandalism, or weather-related events.

Coverage includes cooling and heating systems and kitchen appliances. Coverage for outbuildings on your property like sheds, barns, or garages gets included.

Other damage coverage could consist of things like a falling tree. Your swimming pool might get covered. But it’s a higher-risk item, so you might need extra liability coverage.

You could also get living expenses covered for alternative lodging during repairs. Liability coverage will get included as well.

You’ll get reimbursements for legal or medical fees if people get injured.

Do You Understand Your Policy?

Make sure you understand the different details of your policy. You should know the coverage and what will happen in the event of a claim.

Some lenders only need enough homeowners insurance coverage to pay off your mortgage. In most cases, it’s not enough to replace everything in your house and rebuild your home.

Rebuilding costs could also increase. Additions or improvements made to your house or grown costs need more coverage.

Replacement Cost Homeowner’s Insurance Policy

Consider a replacement cost homeowners insurance policy instead of an actual cash value policy.

Get a replacement cost homeowners insurance policy instead of an actual cash value policy.

The former provides coverage to replace or make repairs. A cash value policy factors depreciation like wear and tear and age.

If a falling tree does damage your roof, a replacement cost policy will cover replacing the roof.

List Your Possessions

Make sure you take an inventory of your possessions with an estimated value.

It would help to note when and where you bought the things on your inventory. Take videos or photos to give a visual record.

You will have a record of your big-ticket items and help you understand the coverage you need.

Most homeowners insurance policies will cover the belongings. If your house gets insured, you can expect to get reimbursed for at least half.

If your inventory determines it isn’t enough, you should have extra coverage.

What About Mold Damage And Coverage?

Mold gets covered by homeowners insurance. You won’t get help if mold damage’s the result of a lack of maintenance.

Some businesses will cover mold damage with limitations caused by a burst pipe.

Does Homeowners Insurance Cover Roof Leaks?

Standard homeowner insurance policies cover roof leaks caused by hail or a storm. The policy will also cover the repairs.

If a lack of maintenance causes the leak, the cost might not be covered.

Does Homeowners Insurance Cover Termite Damage?

Termites can cause damage, but it’s understood as preventable.

Insurers might provide coverage in a fire caused by a termite biting through the wiring. This will be caused by the homeowner’s proper maintenance and lack of attention.

Will Homeowners Insurance Cover Theft?

Most policies will include coverage for theft from losses and vandalism. All procedures will cap the amount the insurance company will cover.

Artwork, collectibles, and jewelry could exceed the limits of a standard policy.

Does Insurance Cover Plumbing Problems?

A failed water heater or burst pipe will get covered by a standard policy. The damage won’t get covered if it was caused by insufficient maintenance.

Damage from a slow leak also might not get covered.

Learn more about flood insurance calculator.

Shop Around For Insurance

Spend your time researching different home insurance policies before you make a decision.

Find a reputable insurance company.

What About Tree Removal?

In the event an old tree falls on your garage or house, you might get help from your policy. Some companies will cover the removal of the tree up to the limits of your insurance policy.

If the tree does fall on the ground and doesn’t cause damage, the cost to remove the tree won’t get covered.

If the damage occurs because the tree isn’t healthy, it may not get covered because you didn’t maintain the tree.

What About Air Conditioning Units?

A home air conditioning system or unit will get covered for storm, fire, or theft damage. Other reasons will get included in a standard homeowners insurance policy subject to the limits of your policy.

Yet, damage from misuse, negligence, or wear and tear won’t get covered.

Will Homeowners Insurance Cover Foundation Repairs?

Damage to the foundation of your house will get covered if it’s caused by a fire, storm, or another event. The events will get included in a homeowners insurance policy.

Earthquake and flood damage will need separate policies. Damage that gets caused by lack of maintenance or neglect isn’t covered.

What About A Roof Replacement?

Insurance will help cover the costs of replacements or repairs of your roof. The roof repair or replacement will get covered if it’s damaged by storms or fires.

What Does Your Premium Policy Cover?

We hope this guide on the premium policy was helpful. Thinking about the homeowner’s insurance policy was insightful.

Are you in need of more helpful home tips? We have so many resources for you to check out.