Property Insurance Coverage

Property insurance is a very wide term for a series of types of insurances that cover a property. There isn’t single property insurance that will cover everything. Typically, you will have the option to get but not limited to the following types of property insurance.

  • Homeowner’s insurance
  • Renter’s insurance
  • Earthquake insurance
  • Flood insurance

While property insurance isn’t exactly mandatory, it may be required when you rent a place. For example, most apartment complexes require tenants to have a renters insurance policy. Without it, you won’t be able to rent. In this post, we will breakdown what the insurance above does and cover.

Homeowner’s Insurance

A homeowner’s insurance policy will cover the physical structure of the property and the landscape and fencing if included. It will cover damages caused by a burglary, vandalism, and natural disasters but generally, flood and earthquake aren’t covered.

Also, damages caused by a tenant are covered in certain situations but generally, any accidental damage should be covered by the tenant’s renters insurance under liability claims.

Renter’s Insurance

Renter’s insurance, unlike the homeowner’s insurance, doesn’t cover the home itself. Instead, it protects the personal property of the renter. So if you’re renting a place and want to protect your personal property such as furniture, clothes, electronic equipment, or pretty much anything of your own, renter’s insurance is a must-have.

On top of the coverage you get, you will have liability insurance of up to $1 million. This covers any liability claims. For example, if someone in your house gets injured and sues you for the damages, the renter’s insurance will cover it. As mentioned above, accidental damage caused by you will be covered by your renter’s insurance.

Flood and Earthquake Insurance

In typical flood insurance, you will be covered against—well, floods and the same applies to the earthquake insurance. However, not all water damage is covered. The water damage must be caused by outside of your house. So damages caused by a malfunction of water systems in your own home isn’t going to be covered in most policies. But flood insurance is very vast and there are different types of it.

Your location is going to play a huge role in how much your premiums are going to be. If you’re in an area where there is a high risk of flood, the premiums are surely going to be higher than somewhere it isn’t.

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