3 Types of Homeowners Insurance to Choose from in 2019

​When you think about houses that need homeowners insurance, the type of house that you’ll most likely think of is the usual bungalow or 2 story house in the suburbs. Spacious family houses aren’t the only that needs insurance, as it also applies to those who own an apartment, mobile home, condo, landmarks, historical, and tiny homes. Homeowners insurances also come in various types, and these include.

1. Basic Form (HO1)
This type of homeowners insurance policy is the most limited coverage standpoint. This is also called the Peril Policy, as it only covers the specific perils in your policy. Here are some of the things that the policy covers:

• Lightning damages
• Smoke or fire
• Theft
• Wind and hail storms
• Explosions
• Vandalism
• Volcanic eruption
  
  

Some of the things that the policy doesn’t cover are a personal liability or personal property coverages.

2. Broad Form (HO2)
This insurance policy is more common than the basic form type, not only does it cover the same perils that the basic form type provides, but it also includes:

• Falling objects
• Accidental discharge or overflow of stream or water
• The weight of snow, sleet, or ice
• Accidental damages from electrical current
  
  

In addition, it usually covers your personal belongings, and sometimes your personal liability. This policy is also named as a peril policy. Therefore, any loss or damages that aren’t on the list would be excluded from your coverage.

3. Special Form (HO3)
This is another type of policy that is common for homeowners. This policy is a comprehensive policy and affordable open peril policy, which means they cover almost everything except for the conditions that outline the policy. Here are some of the common exclusions that you usually see in open peril policies:

• Earth movement
• War damages
• Power failure
• Nuclear hazard
• Government action
• Ordinance law
• Water damage
• Insects or animal damages

Conclusion:
What is and isn’t covered in your homeowner's insurance will be varied by your insurer, therefore you would want to read over what your insurance policy covers to make sure you have the things you need. Coverages for floods, earthquakes, and mudslides aren’t covered by some policies. So, if you live in a place that is prone to these natural disasters, you should always review your insurance coverage before paying.

At Insurance Agency Network, we put our clients first by offering them policies that they can afford. Having insurance is a necessity nowadays and we're here to help you out. Learn more about our products and services by calling our agency at (425) 681-0996. You can also request for a free quote by CLICKING HERE.