thomas09

Hi folks,

Your home is a major investment so it should be insured. There are few types of insurance. How much insurance and what types of insurance you have will depend on a number of factors; the location of the home, home value, home construction, applicable laws, deductibles, costs, and etc.

Five basic types of home insurance:

1) Homeowners: This is the basic coverage that includes loss or damage from hazards plus added available coverage for personal property and liability, jewelry, theft away from home and other such items. Homeowners insurance might also include hail and wind coverage, but in some areas a separate policy will be required.
2) Flood: This indemnifies against loss by flood damage. The insurance is purchased through private companies
3) Wind and Hail: In some locations damage from wind and hail is not covered in the basic Homeowners insurance, but insurers offer a separate policy for this coverage.
4) Earthquake: This insurance is fairly inexpensive and should be considered if the property is in an area where earthquakes are a possibility.
5) Private Mortgage Insurance: This is insurance coverage for non payment of mortgages and foreclosure. Lenders require PMI when the mortgage amount is more than 80% of the home value.

When making decisions about insurance I would suggest consulting with a real estate buyers agent, who is well-known about the area and the several insurance companies and policies available.