Things you didn’t know are covered by home insurance
Protecting the investment you’ve made in your home with proper insurance is obvious to most folks, but you might be interested to know somethings your homeowner’s policy covers that you might not be aware of. Here are some of the less obvious protections.
Fallen Trees: If a municipally owned tree, or your neighbour’s tree were to fall on your property and take out the vehicle parked in your driveway, your home insurance may cover it if theirs doesn’t. Your car insurance may also cover this type of damage if you have comprehensive coverage. You can find out if your home insurance policy covers your car parked on your property by speaking with a DPM Insurance Group broker or CSR.
Aircraft hitting your home: No, seriously. While an extremely rare situation, it’s not entirely outside the realm of possibility. And even though one ever considers the rare occurrence of an airplane or helicopter falling from the sky and landing on their home, you can’t discount it entirely. Should this type of freak accident occur, your homeowners’ policy will pay for housing and food while you find a new home, or stay elsewhere while your home is being restored.
Space Debris: Seemingly even less likely than the above scenario, space debris damaging homes does happen from time to time. If a meteor, asteroid, rocket, or pieces of a satellite, as well as any other falling objects, cause damage to your home, it may be insured under your homeowners’ insurance policies. Coverage for such disasters is available, so contact a DPM Insurance Group broker or CSR to find out what your home insurance policy covers.
Volcano Eruptions: Although many of us don’t live near a volcano, you don’t have to live close to one to feel its affects. The Yellow Stone National Park super volcano could have far reaching affects. If a volcano erupts and causes damage to your home, you may be covered. Make sure you check with your insurance advisor to see if you are protected in this rare instance.
Risks of not having home insurance
While home insurance is not mandatory in Canada, few mortgage lenders are going to hold your mortgage without proper insurance on the property. But let’s say you purchased your home with cash, and since you don’t have a mortgage, think about passing on homeowners’ insurance. You might want to consider that you wouldn’t be covered in these far more likely scenarios than those outlined above: fire, lightning, earthquake, flood, hail, hurricane, power outage, tornado, wildfire, winter freeze.
Typical coverage usually covers: Internal and external home structure damage. Damage to assets within the home, such as furniture and personal belongings. Liability protection for injuries to you, your family or guests. Housing expenses experienced when your home gets damaged.
What to expect after you file your claim
Once your claims adjuster has approved the cost of repair, you will be advised of the options for repairs. You will be responsible for paying the deductible applicable to your claim. Your insurer will provide any additional services included in your coverage, such as living expenses if your home is unfit to live in.
What happens if a company cancels my policy or doesn’t renew it?
There are several reasons a company may cancel your policy such as, too many claims, your home is in disrepair or requires significant renovation or failure to pay your premiums. If this has happened to you, it’s important to be proactive and contact your insurance advisor right away to try to rectify the situation. If you have been a customer of the insurance company for a while, loyalty may play a factor. Also, ask your insurance advisor if you could pay a higher rate in order to keep your insurance.
What should I do if I can’t find a company willing to insure me?
Don’t give up. If you work with a DPM Insurance Group broker or CSR, we can help get you quotes from several insurers. Insurance companies evaluate applications differently, so one may insure you, while another may not. We can help simplify this process for you, and you can rest easy knowing you will get the right coverage at the best price possible.