Do you need home owner’s insurance?

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When buying a house, you may need to purchase a form of homeowner insurance.

Homeowner insurance is a contract designed to protect you as a homeowner from sudden and accidental losses. A home insurance policy is a contract between a homeowner, also known as the insured, and an insurance company.

The contract creates an agreement that for the premium paid by the homeowner, the insurance company reimburses the homeowner for unexpected, sudden, and/or accidental damage or natural disasters that occur in the home.

How does homeowner insurance work? 

Your insurance policy is a contract that agrees to cover you for specific risks or risks that may occur, resulting in financial loss.

In exchange for a premium (the amount of money you pay for your contract), the insurance policy forms an agreement that the insurance company will pay you damages as described and detailed in your insurance policy. When you buy homeowner insurance or condo or renter insurance, you have entered into a contract with an insurance company. The contract is your insurance policy.

All terms of your policy dictate what is covered, how the claim will be paid, and what is excluded or limited. You can find basic information about your insurance coverage on your insurance policy’s declaration page. Definitions and specific limits are clearly stated in your insurance policy, so you know what to expect as an insurance policyholder.

How much does home insurance cost?

There are many factors that determine how much home insurance costs. According to statistics, the average cost of insurance for homeowners in Ireland is 1180 € per year.

Is home insurance worth it? 

Home insurance provides people who own their homes a valuable resource to protect their investment and financial stability if a situation arises where sudden and accidental damage to your personal property or home occurs. It also protects you by providing liability insurance that occurs from your home property or even from your actions and activities as an individual around the world.

Should all homeowners have a home insurance policy? 

No. All homeowners do not need to have home insurance; however, if you have a loan or mortgage and do not fully own your home, the mortgage lender may require you for home insurance because he wants to protect the money they gave you. How part of the loan. They may require you to provide bridging insurance before granting your mortgage or loan.

Written by Bader Albader, market research.