Introduction
Home fire insurance is incredibly important, but it’s also one of the most overlooked types of insurance you can have. It’s so easy to forget about your home insurance in the rush to have everything else taken care of, but once you have this one under control, you’ll be glad you did.
Here are three reasons why home fire insurance is more important than you think.
Home fire insurance claims totaled more than $1 billion in 2015
The numbers aren't good. In fact, the National Association of State Public Health Officials (NASPHO) reports that home fire claims totaled more than $1 billion in 2015.
NASPHO also reports that more than 50% of those fires are caused by cooking equipment, which makes having a home fire insurance policy an absolute must.
It can help with living expenses while your house is being rebuilt and it can be used as a safety net if you're worried about covering medical bills or rebuilding from scratch.
Don't just rely on your landlord's home fire policy to save the day - at the end of the day, you're responsible for your property and what happens to it in case anything does happen.
After all, being prepared is better than not preparing at all! So how do you know when you need home fire insurance?
Here are three reasons why we think you should always have a home fire insurance policy:
The cost of living without your house would be enormous: One of the biggest reasons to have a home fire insurance policy is because it can cover some expensive costs like replacing items that were lost in the blaze.
In addition, if something catastrophic happens like water damage or structural damage due to smoke inhalation, your health could suffer even worse long-term issues such as respiratory problems or chronic diseases later on down the line. That alone should make it worth insuring your property!
Most homeowners who lose their homes don’t have home fire insurance
If you’re lucky enough to have your home burn down and you have the right coverage, your insurance company will usually just cut you a check for the current value of your home. Unfortunately, homeowners are at risk of losing their homes when they don’t have home fire insurance.
If a disaster hits and they don’t have sufficient coverage, they can end up with a hefty bill or find themselves living in their car. Furthermore, many homeowners who suffer serious losses don’t know that they can purchase discounted rates on home fire insurance if they combine it with another type of insurance like homeowners or renters insurance.
As a result, these homeowners might choose not to purchase this important coverage because they think that the cost of two types of insurance would be too expensive. But what they don't realize is that most companies offer discounts when two policies are purchased together-so even though it might be slightly more expensive upfront, people may get back more money in the long run.
Additionally, there's typically no waiting
period before filing an insurance claim
Additionally, there's typically no waiting period before filing an insurance claim- so unlike medical emergencies where there's often a 3-day waiting period before treatment starts, if someone has already filed home fire insurance and their house burns down while waiting for other policies to take effect- they'll still receive full compensation from their insurer.
It should also be noted that home fire insurance covers personal property as well- including any belongings stored in the residence. For instance, if someone lives alone and had three pet cats worth $2,000 each but doesn't have any furniture- those three cats would be covered under their home fire policy because the homeowner purchased personal property protection (a common feature on all quality home fire policies).
Very few homeowners realize how affordable home fire insurance is
Imagine the peace of mind that comes with knowing that if you lose everything in a fire, you have insurance to take care of rebuilding your home.
Most homeowners are surprised to find out how affordable it is to insure against fire damage. Some homeowners also mistakenly believe they are covered by their homeowner's policy.
That's not always the case. Check with your agent about whether your current plan covers losses due to fire and if not, find out what it will cost to add on coverage for these losses. There's no sense in paying premiums for years only to discover that your policy doesn't cover the one thing you want protection from most - a house fire.
Another thing many people don't realize is that there are different types of insurance: Ordinary property insurance will pay for damages from things like water leaks or falling trees; but, ordinary property policies won't pay to rebuild or replace your house after it burns down or sinks because of flooding caused by a hurricane.
If you own something special (like artwork) that could be damaged by fire, then all-risk insurance might be the best choice for you.
One last thing to consider is the other members of your family. If someone else lives in your home besides yourself, such as a spouse or child who has an income, then it may make sense to purchase additional liability coverage just in case someone gets hurt and wants to sue for damages.
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