Property Insurance and Covid-19: February Updates
Property insurance is something every homeowner should have — but it’s also something that many homeowners remain in the dark or misinformed about, despite its vital importance in protecting and securing their home.
That’s why today, we’re going to look at what home insurance does exactly, as well as a little on how the Covid-19 crisis is affecting home insurance.
A Property Insurance Primer
Property insurance is one of the best ways of protecting and securing both the house or condo unit itself and all of the valuables contained inside. It also helps to protect you from liability, especially in the event someone is injured by an accident on your property.
There are two different structures for property insurance: replacement cost and actual cash value, and it’s important you know which one you've signed up for.
Replacement value will cover the cost of replacing or rebuilding, while actual cash value will factor in depreciation and is often cheaper.
Making sure you read up on the details of your agreement, and weigh up the differences between providers.
As property insurance lacks the standardized regulation of other industries, such as auto insurance, it means there is a wide range of different options in terms of coverages and options.
It’s also especially useful to know what your policy doesn’t cover. This may include:
Personal liability accrued by running a home business
Major water damage
Reasonable wear and tear
Damaged caused by rodents or insects
Damage caused by an intentional or criminal act
Property Insurance And Covid-19
The Covid-19 crisis has changed the way we think and utilize so many things, including how we relate to our home spaces. And this inevitably has implications for property insurance.
One surprising thing you need to check for is whether your policy contains any exclusions or language around communicable diseases. It’s a worst-case scenario, and highly unlikely, but you could potentially be liable if someone were to become ill while on your property. Of course, this is easily avoidable, simply by complying with public health regulations!
No matter what stage you’re at in buying or selling a new home, you need the guidance of experts who know they’re way around the property market, and that’s exactly what we provide. To find out more, get in touch with us today!