A home warranty is a separate service contract that provides additional coverage for homeowners and can be purchased from a variety of companies. Mortgage insurance is required by lenders to ensure that their loan is covered should the borrower default on their loan payments.

Homeowners insurance covers a variety of incidences for both the home and the belongings inside it. Examples include fire, theft, wind, hail, lightning and other natural disasters, as well as accidental water damage, frozen/burst pipes and vandalism. Coverage is typically available for damages up to the limits set in the policy.

The coverage of a homeowners insurance policy can be customized to fit the specific needs of the homeowner. Policy limits, deductibles and coverage types can be adjusted to provide optimal protection. Property owners may be able to secure additional coverage for items such as jewelry and valuable artwork, which may not be included in a standard policy.

Most homeowners insurance policies also provide liability coverage in the event that somebody is injured while on the property. This liability coverage can provide financial protection if someone is hurt due to conditions on the property. It may also provide legal representation and court costs in the event of a lawsuit.

Homeowners insurance is an essential form of protection for homeowners that helps provide peace of mind in times of uncertainty and ensures that the homeowner will not be left vulnerable in the event of an unexpected incident. While premiums for homeowners insurance may vary, the protection and security provided by the coverage is invaluable. A good homeowners policy can provide the financial security homeowners need to ensure their biggest asset is safe from costly damages.