Frequently Asked Questions About Home Owners Insurance Law


Homeowners insurance offers you financial protection in case of an accident or disaster involving your home. Here are some of the frequently asked questions about homeowners insurance law.

What Is Covered Under Homeowners Insurance?

Homeowners insurance gives you coverage for several risks that you are likely to come across as a house owner that can otherwise be financially overwhelming if you were to meet these expenses out of pocket. These risks include:

  • Property damage: This is destruction and damage to your property and its detached structures. The amount you will be compensated will be limited to your policy if your house is damaged because of a covered hazard. The standard covered circumstances are things like vandalism and hurricanes. Hazards like floods and earthquakes are excluded.

  • Loss of Personal Property: This includes the theft or damage of personal property up to the policy limits for the covered circumstances. This excludes earthquakes, flooding, and personal negligence. If you have valuable property like antiques or collectibles, you will require additional endorsements on your insurance policy.

  • Personal Liability: If you, a member of your family, or a pet, is responsible for an injury, accident, or property damage, you can receive protection from homeowners insurance. It does not matter whether your issue requires repair of property or medical care; you will get coverage within your liability limits. The exceptions are things such as aggressive behavior against a neighbor.

  • Added Living Costs: If you cannot inhabit your house, homeowners insurance will cater to an alternative living while your home is being rebuilt or repaired. This could be included in your policy or may come as optional coverage.

How Do You Begin The Claims Process?

In case you sustain a loss, whether it is a fire, burglary, or storm, notify your insurance company to start the claims process. You will be referred to an adjuster who will work with you and assess the level of damage and also value your compensation.

What Benefits Will You Receive?

The benefits you are entitled to are based on several factors including:

  • The limits of your policy both for your belongings and for structural property

  • The deductibles that you pay before your coverage is utilized

  • Whether you choose coverage for the real cash value or the replacement value of your home

Make sure you consult Strems Law Firm to determine what benefits you are entitled to under your homeowner's policy.

How Much Does It Cost To Have Homeowners Insurance?

The value of your house and the coverage you buy will dictate how much you pay in premiums. Other factors that will affect your premium include the crime rate in your home area and the number of claims you filed in the past. The state you live in will also affect the cost of your policy since the average cost for homeowners insurance varies from one state to the other. You should consult Strems Law Firm and ask them about the average cost in your state.

Can They Cancel Your Homeowners Insurance?

Your insurance provider can drop you. Being dropped by an insurance provider is tantamount to a non-renewal. It is not the same as being canceled. Being dropped means that your insurance policy will not be renewed and you must look for another provider. Your homeowners insurance may be canceled anytime provided you are informed. In the first 60 days of your policy, the insurance provider may cancel for several reasons; however, after the 60-day window, the reason for the cancellation has to be because of a specific circumstance like an increase in risk, misrepresentation, or a non-payment. You should get a notice of cancellation within 10-30 days before the cancellation is effective.

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