Homeowners often wonder of the basic home insurance policies available for them. Since at the present time, having insurance is an essential factor, most of the homeowners often seek for the right insurance company that has insurance policies that are both agreeable and meets the basic requirements of homeowners. The standard home insurance policies, as not known to everybody, have to follow the terms given by the Insurance Services Office (ISO). This also means that every home insurance policy may be different with their rates but the coverage will remain the same among all insurance companies.
HO-1 is also regarded as basic homeowners’ policy. It covers your house and possessions against ten different threats. HO-2 or broad homeowners’ policy covers sixteen perils. HO-3 known as the special homeowners’ policy covers all threats except for those that are particularly debarred by the policy. HO-4 otherwise known as renters’ insurance policy covers sixteen perils. Moreover, it includes liability coverage. HO-6 policy, which is specially for the owners of cooperatives or condominiums, covers personal property, liability and specific unit’s improvement coverage. Insurance offered by the association of owners ordinarily covers the actual structure. HO-8 is the policy for older homes. It covers sixteen perils but only pay for costs of repair or the actual cash value. This is because replacement cost can already be expensive. This is suitable for older homes that the market value is less than the price of rebuilding them.
The perils that are given earlier includes explosion, windstorm or hail, riot or civil commotion, damage caused by aircrafts and vehicles, smoke, vandalism or malicious mischief, theft or robbery, volcanic eruption, falling objects, weight of ice, snow or sleet, accidental discharge, accidental burning or heating system and accidental damage from the generated artificial electrical current. These perils may or may be covered by your policy depending upon the types you avail or suited in the circumstances. If by any chance you need a certain peril to be included in the home insurance policy coverage, you may negotiate it with the insurance company to come up with the best solution to your claim.
So for those who are looking for the best home insurance policy out there, you should not settle for only one insurance company. Try to compare it to another and see where you can have more suitable insurance policy coverage with lower and more affordable rates.