There are multiple types of homeowners policies and it’s important to understand the differences and which one is right for you.
Homeowners – This is a standalone, 1-4 family dwelling or a town house that you live in. There is coverage for the building, other structures, contents, loss of use and liability. Homeowners come with various levels of coverage. There are HO1, HO2, HO3, or HO5. The coverages differ greatly amongst these and it’s important to make sure you understand which one you have.
Condo – A condo policy also has building coverage, contents, loss of use and liability. The difference is the building limit is usually lower on a condo policy. The reason for the lower building coverage is because the condo association should have a master policy that covers some portion of the building and your unit. How much they cover depends on the association by-laws. It’s important to review them and make sure you have the correct coverage on your condo policy.
Renters – These policies are for people who are renting a house, condo, apartment, etc. It does not provide coverage for the building. Primarily it is coverage for contents, loss of use, and liability. It is important for you to have a renters policy because your landlords policy does not cover your contents if there is a loss at your building. You also need liability coverage for yourself and your family members.
Dwelling Fire – When you own a building that you rent to others, you need a dwelling fire policy. They have building & liability coverage. They also contain the option to purchase coverage for contents, other structures, and loss of use. If your renter property is insured on a homeowners policy, rather than a dwelling fire or commercial policy, you may not have coverage.
For more information or to make sure you have the right policy for you, visit our website or give us a call at 412-444-4470. Our knowledgeable staff would be happy to review your current coverages and provide you with proposals from multiple insurance carriers for free.
We make insurance simple by doing the work to find the right coverage at the best price, saving you time, money and providing peace of mind.