Your Home Insurance Covers More Than Your Home

Depending on your home insurance schedule, your homeowner’s policy may cover things like personal property that is damaged while not in the home and medical expenses of third parties injured on your property due to your negligence. When you go in to talk to your agent about homeowner's insurance, be sure to ask about the different policy schedules and which one is right for you.

Schedule A  (HO-1)

While schedule A insurance used to be the industry standard, it has fallen out of favor and isn’t nearly as widely available as it used to be. This insurance covers the structure of the home as well as its contents against the 10 major disasters that can befall a home, including vandalism and fire.

Schedule B (HO-2)

Certain homeowners need to take out protection against particular events like heavy snowfall causing roof damage or power outages. This is usually an add-on to a standard home policy and is used in areas where extreme conditions warrant it. It is sometimes used as an individual home policy on mobile homes as the premiums are low and the coverage can be written to cover the major causes of mobile home damage.

Schedule C (HO-3)

Schedule C home insurance covers the entire home and its contents, including any injuries that occur while in the home. In addition, it covers flood damage, damage from war and earthquakes. These inclusions make schedule C one of the most comprehensive and expensive choices.

Schedule D (HO-4)

Schedule D is renter's insurance that covers the same items that are covered for owners in Schedule B and C.

Schedule E (HO-5)

While all the policies up to this point only cover the physical home and its contents, Schedule E covers the entire property. So if a person is hurt while in your driveway or yard, this policy will cover it. It also covers damage to fences and outbuildings and their contents.

Schedule F (HO-6)

This is specific household insurance comparable to Schedule C for Condominium owners.

Schedule G (HO-7)

If you own a mobile home and choose not to take out Schedule B insurance, the more comprehensive Schedule G is your best choice. This policy covers the structure and all belongings, and if you include a float policy, it can also include outbuildings such as sheds and carports.

Schedule H (HO-8)

Schedule H is the same policy as the Schedule A policy with the only difference being that the home will be paid out as a current cash market value instead of a replacement cost value. This policy is usually used on hard to replace older homes. Taking out this policy instead of a Schedule A could be the difference between having all of your losses covered and just a portion of them.

Schedule I (HO-9)

Schedule I insurance is used for older homes. It is often a Schedule C policy with special provisions for leaky plumbing coverage, electrical systems coverage and insect damage, although it can be tweaked to account for any area-specific  peril.  

As you can see, there are several types of home insurance that you can purchase. Which one is right for you depends on the amount of coverage you are looking for, and the type of home that you own. By far, the most common insurance is the Schedule C or E option, although many homeowners would do well to consider additional riders or floater policies  to secure complete coverage.

For more information about Tampa home insurance, give Adcock-Adcock Insurance Agency a call at 813-933-6691.

The Cost to Rebuild Your Home can Increase

When taking out a Tampa home insurance policy you may think that the limit for the dwelling coverage is based on the property value of your home. Instead, it actually should be based on the cost to rebuild your home—a significantly different number.

Many people don't realize that the appraised value of their home could be totally different from the home’s rebuilding costs. The appraised value takes into consideration your home as it currently is along with the real estate market as a whole in your area. But rebuilding a home takes materials and manpower that will be priced based on many different factors, all of which are variable. For example, depending on current output for homebuilders, the cost of materials to rebuild a home could be quite high whereas in a depressed housing market they may be lower. Unfortunately, if your limits don’t take this fluctuation into account, you could quickly find yourself underinsured.

Another consideration in the cost to rebuild your home is any change in codes that may have taken effect since your home was originally built. As codes requirements become more stringent it may become more expensive to rebuild.

It's important to remember that the cost to rebuild your home is not a static number and to periodically check for potential changes in rebuilding costs, such as the costs of materials and labor which can change many times throughout the year. It's impractical to check the cost to rebuild monthly, but you can ensure that you check it annually before your home insurance policy is renewed and then assess the value of making adjustments.

If you aren't sure how to estimate rebuilding costs for your home or you have other questions or concerns about your home insurance policy, give us a call 866-933-6691. We can ensure that your home insurance policy offers you the coverage you need with minimal gaps and we can help you determine more accurate limits so that you get a sufficient benefit after going through an insurable incident.