If you’ve just bought a new home, you may feel like you’ve spent enough money for the time being. Even so, you should not neglect to purchase homeowners insurance. Having homeowners insurance is essential, and it can help you with many things that may come up in the near or distant future. Unlike car insurance, homeowners insurance is not something you are legally obligated to purchase when you buy a home, but you should purchase it nonetheless.
Protecting Your Home
Homeowners insurance can help you stay afloat in the case that natural disasters or other things cause significant damage to your home. In fact, many insurance plans offer strategies for helping you protect your home from such damage in the first place. An insurance agency can give you more details about how this works.
Protecting Yourself from Liability
If you have guests over and one of them gets injured on account of a pothole, an upturned nail or other potential hazard on your property, you may be liable for the injury. If you are found to be responsible, it will be up to you to pay for damages incurred. Homeowners insurance will cover the costs if this sort of event occurs.
The importance of homeowners insurance is so pronounced that you may be required to purchase it before you can get a loan. In addition, tenants’ associations often require you to have coverage before you can purchase a co-op or condominium.