It can be stressful when your home suffers damage or an intruder helps themselves to your items. Luckily, insurance can help cover the cost of a replacement. Here are five tips to help you understand your homeowners insurance plan.

1. Start With a Comprehensive Overview of Coverage

It's important to understand that your plan is insurance coverage for protecting the structures on your property, your belongings, and any liability you may have. This coverage can include damage to your home that results from theft, such as replacing stolen property, and damage caused by someone breaking in.

2. Know What Defines Natural Disasters

Did you know that, according to the Insurance Information Institute, as many as one in 50 homeowners file claims related to water damage or freezing, accounting for almost 24% of these insurance claims? You may have to pay to repair or fully rebuild your home structure after a weather-related disaster such as a hurricane or tornado. Your home may be partially damaged by a lightning strike, flooding, or a winter freeze. This part of your insurance plan is referred to as dwelling coverage.

3. Account for Other Structures

Do you have other structures beside your main house? Be aware that these structures have separate coverage when it comes to damage or theft. According to reports from Forbes, other structures account for around 10% of the dwelling coverage. These structures may include your garage, fence, greenhouse, detached guesthouse, etc.

4. Consider Coverage for Temporary Moves

What if you have to temporarily move from your home? This may happen if your home has suffered damage and you need to relocate to a hotel or other location while your home is being repaired. This coverage can cover your room and board costs. You may also get transport coverage.

5. Consider Coverage for Personal Items

A homeowners insurance plan may also help cover the fees for personal items. For example, if your appliances, furniture, or clothing are stolen or damaged during a natural disaster or theft, you can get coverage under the dwelling section. Certain items like art, jewelry, heirlooms, or electronics get more coverage.

Your homeowners insurance plan is there to cover you from many disasters and thefts that can happen. Losing personal items or suffering damage to them can be financially devastating for you, but understanding your insurance can help ease the burden. To learn more about different home insurance coverage options, contact our team at The Insurance Man for assistance.