The Risks of Not Purchasing a Home Insurance Policy

Other than our family, our homes also shelter our most expensive belongings; artwork, jewelry, furniture, etc. All of these things hold not only a great deal of financial, but also sentimental value. This is the reason why people invest in home security in the form of CCTV cameras, security guards, and, at times, security lights.

However, sometimes the risks go beyond just petty theft. In a place like Florida, where hurricanes, storms, and floods are a common occurrence, security cameras have a limited role to play when it comes to the safety of your belongings. This is where home insurance comes in. Here are some of the risks of not purchasing a home insurance policy:

Liability Coverage

Although this type of insurance is mostly applicable to automobiles, in rare cases, it can be helpful for households as well. Liability coverage is when someone else gets hurt because of an accident caused by your property.

Imagine if you leave your BBQ grill unattended, and the neighbor’s house somehow catches fire. The neighbor will naturally hold you responsible. In such cases, your insurance company will pay for the claim if you have liability coverage for your home. This will help you avoid the costs of paying for your neighbor’s claims. Liability coverage applies to both bodily damage and damage to property.

Storm damage

The Sunshine State of Florida is notoriously famous for thunderstorms, lightning, floods, and other natural disasters (ironic, we know). In fact, more people are killed by lightning in Florida compared to any other state.

Such natural disasters can cause immense damage to houses and the belongings within them. At times, a family may even be required to relocate for months so repairs can take place. These repairs can be huge in terms of expenses. At times, you might even have to completely reconstruct your house if it’s located in a zone which gets flooded often.

If you don’t have home insurance coverage, you’ll be required to pay all these expenses yourself. If the storm is really severe, this might even bankrupt you.

Violation of mortgage clause

When you apply for a mortgage loan to purchase a house, your financial institution or lender might require you to have home insurance. If the borrower fails to comply with this rule, it often results in foreclosure. As a result, the lender seizes possession of the mortgaged property. Before signing a deal with your lender, make sure you’ve read through the clauses to avoid any consequences later.

Manatee Insurance is a car, boat, home, flood and bike insurance provider based in Florida. For the cheapest insurance quotes, get in touch with us now. We offer home insurance services in Bradenton, Palmetto, and across various Manatee counties. To get started, contact us online now.

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