“Food, Clothe and Shelter” these are the three fundamental necessities of a human being; we have been taught since childhood. “House”, “Home”, “Shelter”, these are the only words but act as the strongest conjuration. “Wooaahh!! You spent your all prevailing savings and sold out assets to buy a home???” We always take aback when somebody spends lifelong holdings in buying a dream home. Since buying a home is a long term heavy investment; contemplating the importance of getting it insured is also an important question which wrangle the homeowners. Taking into an account the recent earthquake of Nepal or flood of Uttarakhand, it destroyed houses with a single blink. Rehabilitation of these houses is the most difficult task as it incurs heavy re-investment. However, these natural calamity hardships can be minimized or reduced by getting the house insured and so valuables in it.
Importance or necessity of a particular policy can not be realized unless it is really needed. Understanding this, Home insurance acts as the absolute aid while replacing the completely destroyed home. Therefore, it is advisable to carry a secured home policy for the people who live in disaster prone areas. Additionally, flood, storm and lightening get easily covered in a basic insurance policy along with fire and other associated hazards. Extra payments needs to be made for other disasters like earthquake etc. depending on the geographical area you are living in. A home insurance policy will cover more on ill-effects of floods in Texas where it will protect more on earthquake damages in Nepal but its own deductible separate from the other parts of the policy.
Home insurance policy also succors your home mortgages. Lending institutes or banks always see to it that their collaterals should be protected with a secured policy. If the mortgaged property gets destroyed, lenders debt is taken care of because of a secured home insurance policy.
Wisely chosen comprehensive home insurance also saves you from getting sued if somebody gets hurt while at home. Physical harms to any of your house members or your guests will be reimbursed for most of the medical expenses provided it is occurred being at home.
Furthermore, taking additional covers strengthens the home coverage. Your precious belongings also get covered in your secured home insurance policy. Individual premium payment can also gets your gadgets covered in the policy. Your policy may have content provision in which your valuables get covered against robbery or burglary. With some specific provision in the policy you may get the replacement of all the valuable items or replacement cost of it. Sometimes in reinstatements, you get the same amount of money (actual price at the time of buying) for the insured items without any depreciation. Nevertheless, there are conditions attached to it. One should thoroughly study and understand these terms and conditions as home insurance policies are worded differently.
It is essential for every house owner to have a home insurance policy. It protects you from getting into any litigation in case of any harm on property or will protect your assets from theft. Moreover, people make mistake in understanding the content of the policy and regretting thereafter or verbally bruit about it. However, not having home insurance equals taking a very high risk on your most valuable asset.