Limits Of Homeowners Insurance

Homeowners insurance generally covers these damages or circumstances:

• An injury occurring on your property that you are liable for
• Damage to your home's structure and sometimes other structures on the property such as gazebos or sheds
• Theft, loss or damage of personal items
• Damage to landscape features such as trees or shrubs

Homeowners insurance will not help you replace your home or other belongings in all cases. It will not cover damage caused by:

• Flood
• Earthquake

In areas highly prone to earthquakes or near fault lines, homeowners are more likely to purchase a separate earthquake insurance policy. If you live in a flood zone, you may be required to purchase flood insurance by your mortgage lender.

Sources

1. What is in a standard homeowners insurance policy? Retrieved May 13, 2008, from http://www.iii.org/individuals/homei/hbasics/whatisin/