What Your Homeowners Insurance Quote Really Means

If you’ve just received a homeowners insurance quote and find that you don’t understand a word of it then you are probably in the majority. Reading an insurance policy can be a daunting task, especially with the many exclusions, inclusions and deductibles sprinkled throughout. Usually, a standard quote begins with a list of basic coverage’s from A through F with an additional list of options to consider below. The knowledgeable staff at Tri-Star Insurance Professionals Inc. in Frisco, North Dallas and Plano will walk you through a homeowners insurance quote step by step to ensure that you fully understand your options.

Basic Coverages Include:

• Coverage A - The coverage A section of your homeowners insurance policy, also known as Dwelling Coverage, is the replacement cost estimate of the physical structure of the primary dwelling of a home. Since Coverage A only covers structures that are attached to the home by a wall or roof, other buildings such as a guest house, fence or detached garage aren’t included. Determining the right amount of Dwelling Coverage is important because many of the subsequent coverage’s of your homeowners policy are based on a percentage of this figure. You must purchase enough coverage to cover the cost of completely rebuilding your home in the event of a disaster. Bear in mind that rebuilding costs won’t necessarily reflect the market value of your home.

• Coverage B - Coverage B applies to any edifice or other structure that is on your property yet not connected to the home itself including a detached garage, pool house, shed, barn, fence or anything of that nature. The typical coverage limit for other structures is about 10 percent of the Coverage A Dwelling amount.

• Coverage C – Coverage C falls under the personal property category, which basically pertains to any item that you own that is not considered a permanent part of your home’s configuration. Insurance agents usually refer to things such as furniture, clothing, electronics and other valuables as “contents”.

• Coverage D – Coverage D refers to the loss of use of your home due to damage caused by a covered loss and pays for any reasonable expenses incurred from living elsewhere while waiting for repairs.

• Coverage E – In the event of a mishap that occurs on or off your property, you will need to be adequately covered in case of a lawsuit. Coverage E, or personal liability coverage, covers bodily injury or property damage for which you are legally responsible.

• Coverage F – Coverage F pays for the medical payments of others who were injured while on your premises or for the activities of the insured. For example, if your dog runs off and bites someone or a friend is swimming in your pool and falls off the diving board you will be covered.

To learn more about the intricacies of your homeowners insurance quote so that you can feel confident in your coverage, contact Tri-Star Insurance Professionals, Inc. today at 214-387-0600 or toll-free at 1-800-990-4600. Stay tuned to learn more about the additional coverages available!