Maybe you don’t want to pay for homeowners insurance. That’s okay. You can own a home in the UK without paying for insurance. But certain mortgage lenders and home equity loan holders will require you to get your home insured. For your own protection, you should consider getting your house insured. In the case of natural and even man-made disasters, your home will be protected. You can get back on your feet right away.
Protecting Your House and Belongings
Natural and man-made disasters can destroy your home. What will happen if the corrugated plastic roofing sheets of your house get destroyed by a fire, storm, tornado, or snow? Repairs and rebuilding your home will drain your savings. If a huge disaster happens, you’ll not only lose your home, but you won’t also have the financial capacity to rebuilt it.
The insurance will also protect your belongings. You’ve spent years accumulating expensive things. Insurance covers your valuables such as laptops, bikes, and phones even when they are outside the home. This insurance also protects you from possible lawsuits arising from when a visitor has an accident in your home.
Not Legally Required
Home insurance is not a legal requirement for owning a home. But that only applies to those who don’t need a mortgage to buy their home. Those who will apply for a home mortgage need homeowners insurance because this is one of the requirements of the lender. Anyone with interest in your home will want the protection that an insurance policy provides.
Four Types of Insurance Coverage
While there are many things you must consider, you’d want a policy that covers these four things: the house, your belongings, accommodation, and legal bills. Accommodation is also referred to as additional living expenses (ALE) coverage. This means that the insurance will cover the cost of a hotel or other lodging stay while your home is being repaired. The insurance can also cover legal bills concerning any litigation that might arise from an accident in your home.
Cost Is Fairly Affordable
The average cost of homeowners insurance in the U.S. is $1,500 per year. That’s around $120 a month. That’s a fair price seeing the coverage of the insurance policy—from natural to man-made disasters. You’ll also get your personal belongings protected even if you use them outside your home. The cost, of course, will vary depending on state laws and the overall cost of your property.
Get It as Early as You Can
Even if your home is not mortgaged, get a homeowners insurance as soon as you can. It typically takes only a few minutes to get a quote from a trusted insurance company. Make sure to compare quotes before agreeing to buy one from a company. This will ensure that you get the most cost-efficient policy as possible.
Can you imagine how much home repairs cost now? Prices have skyrocketed. The materials alone will cost hundreds of dollars. Add in the labor cost and you’re looking at a couple of thousands of dollars’ worth of repairs. Insurance coverage will make sure that you’re protected from having to pay out of your pocket.