Having the right home insurance coverage is essential if you do not want to lose your hard earned asset. As homeowners in Calgary, you need to ensure that you are adequately protected from unexpected events like property damage, theft, or accidents.
But what exactly does home insurance cover in Calgary, and what doesn’t it cover? In this blog, we’ll break down the key coverage options available and help you decide about your home insurance needs.
What’s Typically Covered by Home Insurance in Calgary?
Home insurance covers several key areas, including the structure of your home, personal property, liability, and additional living expenses. However, choosing between basic and extended insurance coverage is also important.
Structural Damage
Your home is likely one of the largest investments you’ll ever make, so ensuring it’s covered for damage caused by fire, wind, vandalism, or theft is vital. Home insurance will typically cover repairs to the home’s structure, including the walls, roof, windows, and foundation.
Personal Property
If your personal belongings are damaged or stolen, home insurance typically covers repairing or replacing them. This could include things like furniture, electronics, clothing, and appliances. However, high-value items like delicate jewelry or collectibles may require additional coverage.
Liability Protection
Liability protection is an important aspect of home insurance. If someone is injured on your property, this coverage helps pay for medical bills, legal fees, and any settlements or judgments resulting from the incident. This coverage protects you from potential financial ruin in the event of a lawsuit.
Additional Living Expenses (ALE)
If your home becomes uninhabitable due to a covered event like a fire, your home insurance will typically cover the costs of temporary housing and living expenses, such as hotel bills, meals, and laundry services. This ensures that you don’t face financial strain while your home is being repaired or rebuilt.
What Home Insurance Doesn’t Cover
While home insurance offers a broad range of coverage, it’s important to understand what isn’t typically covered. Knowing these exclusions will help prevent unexpected costs down the line.
Natural Disasters (Floods, Earthquakes, etc.)
Most standard home insurance policies do not cover damages caused by natural disasters like floods or earthquakes. If you live in an area that is at risk for these events, it’s essential to add specialized coverage like flood insurance or earthquake insurance.
Maintenance Issues
Home insurance is designed to protect against unexpected events, not regular wear and tear or maintenance problems. Issues such as a leaky roof due to old age or plumbing problems resulting from neglect are generally not covered.
Intentional Damage
Any intentional damage you cause to your home or property is not covered by insurance. Home insurance is meant to cover unintentional damage or loss, so it’s important to maintain your property and avoid intentional harm.
High-Value Items (Without Special Coverage)
Standard home insurance policies typically limit how much they’ll pay for valuable items like jewelry, fine art, or collectibles. If you own high-value items, you may need to add specific coverage for them.
How Does Home Insurance Work in Calgary?
Knowing how home insurance works can make the process of buying and using it much easier.
Premiums and Deductibles
When you buy home insurance, you’ll pay a premium – the amount you pay annually or monthly for coverage. You’ll also have a deductible, which you’ll need to pay out-of-pocket before your insurance coverage kicks in. Premiums and deductibles vary based on factors such as the value of your home, the level of coverage, and the risk factors associated with your property.
Claims Process Overview
In the event of damage or loss, you’ll file a claim with your insurance provider. The provider will assess the damage, determine the payout, and handle repairs or replacements as necessary. The claims process can vary depending on the type of loss, but your insurance provider will guide you through it.
Conclusion
Learning about what home insurance covers in Calgary is essential to keep your investment (home) and belongings safe. By choosing the right coverage, you ensure you are prepared for unexpected events, protecting your home and your financial future. Get in touch with us today to receive a personalized quote and ensure your home is properly protected.