What is homeowner’s insurance and why do I need it?

Homeowners insurance can protect you from the unexpected. If your home is damaged, your belongings are stolen or someone gets injured on your property, it can help cover repairs or replacement, temporary housing, medical bills, legal fees and more.

A homeowner’s policy is recommended for anyone who owns a home or condo and may even be required by your mortgage lender. In certain areas, you may need separate policies or coverage to help protect your home and personal belongings against damage due to floods, earthquakes, windstorms, or hail.

Most policies have 3 key elements: the premium, which is how much you pay for coverage, deductibles which are how much you’re responsible for out-of-pocket in the event of a covered claim, and limits which are the most your insurer will pay for a covered claim.

Home insurance is coverage you hope to never have to use, but if the unexpected happens, it can help you restore your life back to normal.