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Risks of Not Having Homeowners Insurance

Fri, Apr 27, 2018 at 3:40PM

Risks of Not Having Homeowners Insurance

Despite an improving economy, many families are still operating under tight budgets. This prompts people to cut corners on some expenses while altogether eliminating others.

While conserving funds and being generally money-wise is an admirable endeavor, it’s important not to overlook essential safeguards that can end up saving precious time and money in the long run. One of those is homeowners insurance.

A valuable tool in the financial security of any individual or family, homeowners insurance has the power to protect against a variety of scenarios, including theft, severe weather, natural disaster, and more. Consider these factors when choosing the best homeowners insurance policy for your property:

Legal Ramifications

Some homeowners own their property outright, either through inheritance or other means. The vast majority of us, however, enter into a mortgage or other loan to pay off this major purchase over a set period of time.

Many loan documents contain legally-binding language that requires homeowners to obtain and maintain homeowners insurance. If a policy is allowed to lapse, the mortgage company will purchase homeowners insurance — often at a much higher cost than available elsewhere. If premiums are still left unpaid, foreclosure proceedings soon follow. So, failing to secure and maintain homeowners insurance can result in losing your property.

Then there are liability considerations. If a person is injured or killed on a property without homeowners insurance, that owner will be required to pay out of pocket any expenses related to the incident. By contrast, homeowners insurance will pay valid claims against homeowners within the limits of the policy purchased. This gives you peace of mind that you’re covered should the unexpected occur.

Severe Weather in Florida

In recent years, the Sunshine State has been subject to violent and unpredictable weather. From thunderstorms to heavy winds, hail, torrential rain, and even hurricanes and tornadoes, there’s no telling what Mother Nature has in store from one month to the next. That’s why it’s essential to secure adequate homeowners insurance.

Severe weather leaves in its wake death and destruction. Even if your home is left unscathed to the naked eye, there will likely still be expensive repairs to which you must attend. In some cases, damage to a home is deemed so extensive that the authorities will bar re-entry until the matter can be addressed.

Without homeowners insurance, you’ll be forced to shoulder all the expenses of repair, cleanup, and other storm-related considerations, while still coordinating other living expenses (including housing, food, child and pet care, property storage/replacement, and more).

Affordable Protection is Available

If disaster strikes and you’re without homeowners insurance, you’ll be responsible for paying out of pocket all incident-related expenses. That means even if your home is destroyed by severe weather and you owe a mortgage, you’ll be on the hook to satisfy that loan while you search for alternative accommodations. For many families, this scenario would be financially devastating.

Still, many people avoid homeowners insurance for fear it’s too costly or won’t cover their specific desires and requirements. Nothing could be further from the truth. The fact is that there are a variety of affordable policy options to meet every budget and comprehensive coverage is available.

Our friendly and qualified agents are always glad to answer your questions and concerns regarding homeowners insurance and many more coverage areas. That includes business and commercial insurance, automobile, risk management, and more. Contact us today and discover the best homeowners insurance policy options available to protect your family and belongings.

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