Here in North Texas, your home is likely your most valuable asset. But how well do you really understand your homeowners insurance? Many folks buy a policy and assume they’re covered for everything, but that’s a risky assumption.
Look, folks, homeowners insurance is a complex beast. It’s designed to protect you from a wide range of perils, but it also has its limitations. So, let’s cut through the confusion and get down to the brass tacks: what’s covered, what’s not, and when you need to consider those all-important endorsements.
Typical Coverages: The Foundation of Protection
- Dwelling Coverage: This covers the structure of your home, including the walls, roof, and foundation. It protects you from damage caused by fire, wind, hail, and other covered perils.
- Personal Property Coverage: This covers your belongings, such as furniture, clothing, and electronics. It protects you from theft, damage, and other covered perils.
- Liability Coverage: This protects you if someone is injured on your property or if you accidentally damage someone else’s property.
- Additional Living Expenses (ALE): This covers the cost of temporary housing and living expenses if your home is uninhabitable due to a covered loss.
Common Exclusions: The Fine Print You Can’t Ignore
- Floods: Standard homeowners insurance does not cover flood damage. You’ll need a separate flood insurance policy.
- Earthquakes: Earthquakes are not typically covered by standard homeowners insurance. You may need a separate earthquake policy.
- Wear and Tear: Gradual wear and tear, maintenance issues, and deterioration are not covered.
- Sewer Backups: Damage caused by sewer backups is not typically covered. You may need a separate endorsement.
- Mold: Mold damage is often excluded or limited in coverage.
- Pest infestations: Termites, and other pest caused damage is not covered.
When to Consider Endorsements: Customizing Your Coverage
- Valuable Items: If you have valuable items, such as jewelry, artwork, or collectibles, consider adding a scheduled personal property endorsement.
- Sewer Backup Coverage: If you’re concerned about sewer backups, add a sewer backup endorsement.
- Extended Replacement Cost Coverage: If you want extra protection against rising construction costs, add an extended replacement cost endorsement.
- Increased Liability Coverage: If you want higher liability limits, consider adding an umbrella policy.
- Home Business: If you run a business out of your home, make sure you have the correct coverage.
The Bluebonnet Insurance Solutions (and GEICO Flower Mound) Guidance
At Bluebonnet Insurance Solutions, serving North Texas from our GEICO Flower Mound location, we can help you understand your homeowners insurance policy and ensure you have the right coverage. We’ll help you identify potential gaps in coverage and find the endorsements you need.
Don’t leave your home protection to chance. Understand your policy.
Because in the end, it’s not just about having homeowners insurance. It’s about having the right homeowners insurance for your unique needs.
