What does my Homeowners insurance cover?

As an insurance agency owner, I understand the importance of educating my clients on the various aspects of homeowners insurance to ensure they have the appropriate coverage for their needs. Homeowners insurance provides financial protection for a homeowner’s dwelling, personal belongings, and liability. In this blog post, I will discuss some important aspects of homeowners insurance that my agency focuses on when educating clients, including dwelling coverage A, personal liability coverage, personal property coverage, loss of use coverage, scheduled property coverage, deductibles, and sewer backup and service line coverage.

Dwelling Coverage A

Dwelling coverage A is an essential aspect of homeowners insurance, providing financial protection in the event of damage to a home’s structure due to a covered event. I advise my clients on how dwelling coverage A is determined and the importance of having adequate coverage to cover the cost of rebuilding a home in the event of a loss. In Utah, the current average cost to build a home is approximately $150-$200 per square foot. Based on the size and location of their home, I recommend an appropriate amount of coverage to my clients.

Personal Liability Coverage

Personal liability coverage is another critical aspect of homeowners insurance that provides financial protection if the homeowner is found liable for causing bodily injury or property damage to another person. I advise my clients on how much personal liability coverage they should carry. Although the recommended amount can vary depending on the individual’s circumstances, I generally suggest carrying at least $300,000 in personal liability coverage.

Personal Property Coverage

Personal property coverage is the portion of a homeowners insurance policy that covers the cost of replacing personal belongings if they’re damaged or stolen. I stress to my clients the importance of having adequate personal property coverage and help them determine the appropriate amount of coverage needed based on the value of their personal belongings.

Loss of Use Coverage

Loss of use coverage is the portion of a homeowners insurance policy that covers the additional expenses a homeowner may incur if they’re unable to live in their home due to a covered event. I emphasize to my clients the importance of having loss of use coverage and recommend the appropriate amount of coverage they should carry.

Scheduled Property Coverage

Scheduled property coverage is additional coverage that can be added to a homeowners insurance policy to cover high-value items. I advise my clients on the importance of scheduled property coverage and whether it’s necessary based on their personal belongings.

Deductibles

Deductibles are the amount of money a homeowner is responsible for paying out of pocket before their insurance coverage kicks in. I educate my clients on the different deductible options available and help them determine the appropriate amount based on their personal financial situation.

Sewer Backup and Service Line Coverage

Sewer backup and service line coverage is an additional coverage option that can be added to a homeowners insurance policy to protect against damage caused by sewer backups or service line damage. I stress to my clients the importance of this coverage and recommend the appropriate amount of coverage to carry, which can vary depending on the individual’s circumstances.

In conclusion, as an insurance agency owner, I believe it’s essential to educate my clients on the various aspects of homeowners insurance to ensure they have the appropriate coverage for their needs. By focusing on dwelling coverage A, personal liability coverage, personal property coverage, loss of use coverage, scheduled property coverage, deductibles, and sewer backup and service line coverage, I can help my clients make informed decisions about their homeowners insurance policies.