5 Types Of Additional Homeowners Insurance Coverage You Should Consider

When you get a mortgage from a bank, it will be required to get the bare minimum amount of insurance coverage possible to protect the bank's investment. While this is a great start, you should consider the additional types of coverage available to you as well.

Additional Content Coverage

It's possible that all of your personal property is not covered by your basic homeowners insurance. For instance, do you run a small business out of your home? You may need to get additional coverage for any special equipment that you use so it is protected from theft, fire, or other damage.

In addition, you may have valuable items in your home that require special coverage from your insurance company. This can include artwork, jewelry, or even an expensive home computer setup. By asking about what additional content coverage is available, it may raise some flags about things you own that fall into the additional coverage categories.

Additional Home Replacement Coverage

In extreme situations, it's possible to have a total loss of your home due to a natural disaster. If this were to happen, your insurance would need to cover completely rebuilding your home from scratch. You will need to keep up with inflation by actually insuring your home for more money than what it is worth. This will help guarantee that you have enough coverage to rebuild in a worst-case scenario.

Flood Coverage

Do you live at a low part of the street where the water seems to collect during heavy rainstorms? Does the water level increase towards your home once the sewers get backed up? You may not live in a flood zone, but you could still be at risk of flooding in you home. Any time water enters your home through the window wells is considered flooding, and you need special coverage to pay for the repairs.

Water Back-Up Coverage

Do not confuse flood coverage with water back-up coverage, as they are two separate things. The latter typically covers water that enters your home through the sewer system. This can happen if your main sewer line breaks and sewer backs up into your home.

Identity Fraud Coverage

Even though it's not related to your home, you can get insurance that covers you for restoring your stolen identity. Check with your insurance provider to find out what the coverage limits are, since policies typically will help you recover the costs up to a specific dollar amount.

Contact a company like Central Florida Insurance Agency of Town 'N' Country for more information on your insurance options.