Arizona home owners insurance
Overview: Having a proper homeowners policy is always advisable to people who own a house or who live in rented houses. For the owners of the house it provides security against damages occurring to the house, or against any loss or damage of personal property. For those who live in rented houses, a homeowners insurance provides cushion against accidents and injuries to those living in, as well as from damages or loss of their personal property such as furniture and other household items.
The extent of coverage: Before making a comparison between available plans, you should be certain in your mind about the amount of homeowners insurance you feel you can afford. Your lender may want you to go for coverage comparable to the amount of mortgage which may or may not be sufficient for your personal situation. You should remember that you are not obliged to buy insurance from the provider of the lenders choice.
Also, you should have an idea of the deductible you choose. The deductible is an amount you should pay from your own resources for a claim. Insurance will be initiated when the deductible amount is crossed. A policy with a low deductible will cost more than one with a higher deductible.
Common homeowners plans available in Arizona :
The basic types of homeowners coverage that are available in Arizona include Property damage, Additional Living Expenses, Personal Liability and Medical Payments.
Property damage: This coverage provides cover for any damage that occurs due to elements such as fire, cyclone or hail, to the building that you live in. in addition, a 10% cover will generally be provided for those buildings other than your main living structure, like car sheds, garage etc. the disasters resulting from flood and earth quake are not included in the plan.
Additional living expenses coverage: This type of homeowners coverage provides protection for the expenses that you face when you have to stay away from home when the repair work is on, or due to any other reason out of your control. This includes expenses to rent a cottage or hotel room, food etc.
Personal liability coverage: This coverage provides protection against claims from people to compensate for the physical damage for which you are responsible for.
Medical payments: this coverage accounts for reasonable compensation for people other than those living with you apart from yourself, for accidents and injuries caused in the area adjoining your property.
Expenses not covered under homeowners insurance policies in Arizona:
- Compensation for lost pets or vehicles
- Damages caused in connection with war, flood or earth quake.
- Damages caused due to faulty drains and sewage.
- Damages caused for the property used for commercial purposes.
In addition to the above, there is limited coverage available under certain homeowners insurance plans for the following:
- Money, jewelry, and antique collections.
- Computers
- Weapons.
For additional information: Further information on homeowners insurance can be had from the Arizona department of insurance. Its publications like the Consumers guide to Homeowners insurance, Homeowner Premium comparison survey and Insurer Complaint ratios will provide an in depth view to the public on the matter.
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