Generally, home insurance in Sherwood Park is a necessity. It helps prevent catastrophic loss in the event of damage to your property. Depending on your policy details, you’ll have coverage for different events. Your coverage will also affect the monthly premiums.
Most Mortgage Companies Require a Policy Equivalent to the Purchase Price
Even if you don’t want to insure your home, most mortgage companies require it. So, you’ll have to figure out which types of policies they’ll accept. Otherwise, they may not let you close on the home.
Most of the time, mortgage companies require a policy that covers your home at fair market value. Usually, that’s around what you paid when buying the house.
Policies Protect You from Destruction and Damage
If your home caught on fire, the policy would pay for it to be replaced. Not only would it cover the home, but it would also cover your belongings. Most home insurance in Sherwood Park covers the interior and exterior.
Plus, most of them provide coverage for theft, as well. If someone stole something, you could file a claim. Then, the insurance company would reimburse you for its retail price.
You should always create a list of your belongings and store it along with your policy details. That way, if you ever need to file a claim, everything is all in one place.
Smith Insurance Service provides home insurance policies to homeowners in Sherwood Park. Visit us at our website to learn more about our products and services.