agent selling homeowners insurance

How Homeowners Insurance Protects You

Homeowners insurance protection is designed to safeguard your home, its contents, and the people in your space, and provide you with a financial safety net.

Homeowners Insurance

But how does homeowners insurance protect you, exactly? In this article, we’ll explore how a policy can help you secure your home investment.

agent selling homeowners insurance

It Saves You From Paying Out-of-Pocket for Damages

A home is a huge investment. You pay big bucks to buy a property or build a house, then you have to pay for its constant upkeep.

You’ll likely already have a budget for all this, but what happens when an unexpected event occurs, like theft or fire? 

You’ll have to shoulder the expenses to have things fixed, which could leave a big blow in your savings. With homeowners insurance, you get a bit of a cushion.

If the damages fall within your coverage, part of the expenses may be covered so you won’t have to pay out-of-pocket for repairs and renovations. 

It Helps You Recuperate Damaged Items

Homeowners insurance doesn’t necessarily just protect the outside of your home; it may include coverage for what’s inside as well.

Basic policies typically come with contents insurance, which protects your personal belongings in certain events depending on your plan. 

If you have specialty items, such as valuables (artwork, jewelry, etc.) or things you frequently take out of your home (bikes, laptops, etc.), you can also extend your coverage and buy additional coverage to include them.

That way, you won’t have such a hard time getting back your initial investment for them or replacing them with things of similar value.

It Provides You with Liability Protection

Homeowners insurance typically comes with liability coverage. This protects you from taking on any damages suffered by a person visiting your home or damages you may have done on another’s property, whether accidental or not. 

Without home insurance, you could have to pay for medical bills if a person has been injured or for litigation fees if someone sues you for damages.

A policy may be able to settle some of these expenses without you shelling out an arm and a leg.

It Secures Your Home Investment

Homeowners insurance isn’t mandatory in Canada, but it’s best to have it as a way to safeguard your home investment.

Plus, many banks and lenders require you to have it in order to grant you a loan in the first place–it also serves as a way for them to minimize risks.