Many Homeowners Insurance is a form of property insurance created to protect an individual’s home against damages to the house or to possessions placed in the home. Homeowners insurance also provides liability coverage against eventual accidents in the home or on the premises.
In the U.S. there are seven forms of homeowners insurance that have become common in the industry; they range in denomination from HO-1 through HO-8, offering different levels of protection depending on specific needs. While homeowners insurance covers most cases where loss could occur, some events are typically excluded, such as: earthquakes, floods or other “acts of God” and acts of war not otherwise described on the policy.
For people who live in certain parts of the country, adding an extra policy for earthquake insurance or flood insurance can be a good idea to offer additional home protection and peace of mind. Some homeowners insurance is designed for renters, typically HO-4 or “renters insurance”, and only covers possessions within the home and isolated events not covered in the property insurance held by the owner.