Homeowners Insurance Terms You Must Know

Declarations

The Declarations page is like your policy's ID card, showing key info at a glance: property address, policyholder's name, coverage dates, and premium amount. It's crucial for quickly grasping your policy's specifics.

Deductible

The deductible is what you pay upfront before insurance covers costs. If you have a $1,000 deductible and file a $5,000 claim, you pay $1,000, and insurance covers $4,000. Choose a deductible that fits your budget and risk tolerance.

Exclusions

Exclusions are scenarios not covered by homeowners insurance, such as floods or earthquakes. Review them with your insurer to consider additional coverage options if necessary.

Endorsements

Endorsements, also called riders or floaters, are extra protections added to your basic homeowners insurance. They cover specific items or additional perils, letting you customize your coverage based on your needs.

Special Limits

Special limits are the maximum amounts your insurance pays for specific items. If you own valuables exceeding these limits, consider extra coverage, like a rider or endorsement, for proper protection.

Conditions

Your homeowners insurance's conditions section details rules for both you and the insurer. It includes the claims process, post-loss responsibilities, and obligations. Knowing these helps navigate claims smoothly in case of a loss.
For personalized guidance and expert advice on homeowners insurance, consult Jack Stone Insurance Agency.
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