Sotheby's International Realty
Annie Hart Cool, Sotheby's International RealtyPhone: (508) 868-0664
Email: [email protected]

How much homeowners insurance is needed?

by Annie Hart Cool 11/20/2022

person thinking about homeowners insurance

After purchasing a property, protecting your space and personal belongings is important. Having the right coverage in the case of emergencies can offer financial peace of mind. This article provides a brief guide for choosing homeowners insurance to protect your space. 

How much basic coverage do I need?

Calculating the total cost of your home and assets helps in choosing the appropriate amount of coverage. The coverage limits should be enough to rebuild your home and replace personal items if needed. 

Insurance companies use a calculator to figure out the total worth of your home. From there, most offer around 50% of that amount to cover personal belongings. 

What types of homeowners insurance do you need?

There are many types of homeowners insurance. Some offer personal property coverage and liability coverage. Others are very limited and only offer enough coverage for the structure of a property. 

An HO-3 is the most common type of homeowners insurance. It offers liability insurance, dwellings coverage, funding for personal property and more. 

Do I need additional living expenses coverage?

Having additional living expenses coverage secures your well-being if you’re displaced from your home as it’s getting repaired. For example, if a fire damages your home, repairs may take a while. Additional living expenses coverage would pay for you to stay in a rental. 

The right insurance company will offer policies covering all of your property. Speaking with a local lender can help you explore different coverage options. 


About the Author
Author

Annie Hart Cool

“Enthusiastic, energetic and tireless” are just some of the words clients use to describe Annie Hart Cool’s approach to Cape Cod real estate. From family cottages to luxurious estates, Annie’s experience garners successful results whether clients are buying or selling.

Her commitment to delivering luxury service at every price point gives her a wide range of expertise as she helps sellers move onto the next chapter while bringing buyers “home.”