If you are purchasing a home that is financed, the mortgage lender will require you to have home insurance or homeowner's insurance as it is sometimes called. This type of insurance policy protects the lender's asset--your home until it is paid off and then it becomes your asset. At this point, you are not required to have home insurance in the state of Florida, but you should certainly keep it, as you never know when some type of accident will occur, and it can be very costly out-of-pocket.
A home insurance policy will cover your home and belongings in the case of weather-related accidents, such as hurricanes and tornadoes, which often occur in Florida. Damages caused by fire are also covered with a home insurance policy. Additional perils include theft and vandalism. Your policy also gives you a layer of personal liability protection. In the case that your family dog bites someone, the home insurance carrier will pay for the person's medical bills, so you don't have to pay them out-of-pocket. Another great advantage to personal liability is that it will pay medical costs, loss of wages and your legal fees in the case that someone has an accident while on your property. It will also cover the expenses to repair or replace someone else's property that you cause damages to. A home insurance policy also covers expenses in the case that damages to your home occur and it is not inhabitable while being repaired.
Remember that your home insurance policy will only pay out up to the limits that you purchase and if damages or losses occur over and above that amount--you are responsible for those costs. The best idea is to make a list of all your belongings and estimate a price for them if possible to make sure you have enough coverage for your personal items.
Home insurance can be confusing. You want enough coverage to make certain that it covers the cost of repairs or replacement of your items. At Bright Beacon Insurance Inc we are here to help you. You can make a list of your personal belongings and stop by our office to talk to a knowledgeable agent to arrive at a home insurance policy that is just the right size.