Damages caused by the following are not covered:

- flood
- earthquake or land movement
- war
- nuclear-related events (explosion, leakage)
- “Acts of God” or other natural calamities

Repair and maintenance costs may not be fully covered, only a percentage of the cost will be paid by the insurance company.

Among those covered are damages caused by fire, wind. However, if damage is caused by events that are covered and not covered, and occurred at about the same time (e.g. fire resulted from an earthquake), this may not be covered if an anti-concurrent causation clause is included in the policy.

To know more about what is covered by a homeowner’s insurance, check out Insurance Information Institute.

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To learn more about liability insurance, check out: Liability Insurance

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Generally, insurance for homes located in a flood-prone area (a high-risk area) will cost more, or a separate flood insurance may be availed of for better coverage. A house located near a fire department may cost lower than that in a remote area.

Building materials also affects insurance costs, since cost of repair varies for different materials used even if the damage was caused by the same incident.

Discounts are offered by insurance companies for homes with smoke detectors and other kinds of security alarms and devices.

If you sign for additional riders on your insurance, expect to pay more. It is advisable to ask your agent to explain all the details and benefits to make sure you are not purchasing an item you don’t need.

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In cases of theft or damage to property, you can add a contents insurance to cover the equipment you use like computers, fax and printing , freezers, etc. Note that these equipment will be covered while these are in your premises. Mobile items like laptops should have separate property insurance.

If your have clients or deliveries over your home, you should get additional liability insurance. Relatives who visit and end up getting injured inside your premises will be covered by your homeowner’s policy, but clients or delivery boys who trip over and get injured will be covered by a separate liability insurance specifically for your business operations.

There are different types of business insurance, visit this site to know more.

Also visit www.iii.org for more insurance information.

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To learn more about home insurance coverage, visit:
Farmers.com
Insurance Information Institute

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When it comes to contents insurance, the insurance companies vary in terms of coverage of property and possessions, which is why it is very important to choose which insurance policy and company would work best with you. Some policies would go to as far as changing your locks if your keys are stolen, however, some would pay for lost items but would not go as far as this. Some policies would cover the repair of even broken mirrors or doors in case of burglary, but some would pay only for the damages done on equipment, gadgets and appliances.

There are also policies wherein insurance companies increase the level of contents cover during special holidays (Christmas) or special occasions (weddings) should you have a lot of valuable gifts you will most likely have around the house.

It is always best and advisable to check with your insurance company on the schemes and conditions that you could make the insurance system work best for you. Like in every scenario, it is always better to prevent than to cure.

Along with the buildings insurance that guarantees your house will be under good protection is its partner in the safe-keeping of your home – the contents insurance. The contents insurance, which is self-explanatory, insures the protection of the contents of your home. All your worldly and valuable possessions are the primary reasons why such insurance was created.

The contents insurance covers every valuable thing that you own – including furniture, household goods, food and drink, television sets, video cameras, computers, stereo and sound equipment, gadgets, fitness equipment, clothes, jewelries and the like. The claims for this insurance are expected to be made after a burglary or a fire or any other untoward incident that your contents insurance are enrolled in. The insurance also pays if there are damages or vandalism done to your things, so the claims must be done immediately after the incident has occurred.

If you prevent your home from being vulnerable to natural disasters like hail, windstorms, earthquakes, fires and floods, you would protect your home and possessions and save a lot on premiums. You could do this by reinforcing your roof, buying stronger roofing materials and adding storm shutters. In earthquake prone areas, you could make your home earthquake proof by refitting it. You could also consider upgrading your electrical, heating and plumbing systems to reduce fire and water damage. You could also ask your insurance agent what more steps you could take so that your home will be resistant to damages.

Deductibles are payments toward a loss before your insurance company pays a claim. The higher your deductible, the more money you save on premiums. Most insurance companies require a deductible of at least $500 but if you raise it to $1,000 you could save up to 25%. If you are in an at-risk area, your insurance may have a separate deductible for specific kinds of damage. For example, if you live in a state where hail storms are common, you will have a separate deductible for hail, or if you live in an earthquake-prone area, your earthquake policy has a deductible.

Let us look at the other side of the coin. After finding out that insurance companies are able to increase profits by cheating and shortchanging its clients, homeowners are also capable of filing false or bloated claims and get away with it. Fraudulent acts on the part of the homeowner include arson, a fake burglary, staging an accident, submitting a false claim or inflating the amount of claim, or filing a claim that has been paid for by another insurance provider.

Insurance companies have their own in-house investigators, and these companies also partner with government and non-government organizations that focus on prosecution of insurance criminals. Some of these are:

National Insurance Crime Bureau
Insurance Fraud Bureau
Insurance Fraud Investigators Group
Quackwatch http://www.quackwatch.com/
International Association of Insurance Fraud Agencies, Inc.

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