When you buy a house, you’ll put a lot of money into a mortgage, upkeep and maintenance over the years. You want to protect that investment. Homeowners insurance is one of the most reassuring ways to do so.
Coverage can help you get the money to repair, replace or rebuild your house or possessions following devastating losses. It can also help you repay others if they sustain property damage or injuries through their interactions with you. Coverage can even help you pay others for damages your pet causes them.
Homeowners insurance is about financial security. It can help you when costly accidents happen at home that you would rather avoid. When all is said and done, you will benefit from coverage.
Let’s say that something like a fire, tornado or hail damages your home. Repair bills might skyrocket. Some items and possessions might even be total losses. You might not have the money on hand to replace these items without facing financial trouble. A claim on your home’s insurance can help you avoid those cost losses that you don’t want to have to deal with.
Is home insurance required in Tennessee?
Tennessee law does not explicitly require homeowners to carry home insurance. However, it does allow mortgage lenders to require loan applicants to carry coverage. Therefore, if you plan to finance your home, you’ll probably have to keep a policy.
What does coverage include?
All home policies differ, but they all usually contain a lot of similar pieces. Within a policy, you can find:
Structure protection: Coverage can insure your house, garage and often detached buildings on the property. It can cover you in case of damage from fires, weather, theft and similar hazards.
Possessions insurance: This coverage pays for damaged belongings. Protection might cover everything from food in the pantry to computer systems in your office and clothes in the closet.
Liability coverage: If you harm someone else or damage their property, you can use this coverage to compensate them. Coverage will often pay for incidents on or off your property.
Additional expense protection: Do you need to move out temporarily after an accident at home? Let this coverage reimburse you for expenses like dining or hotel bills.
