Homeowners

Homeowner policy dollar Iimits are important to understand. The Declarations Page on the front of the homeowner's pollcy shows how much coverage is available to the homeowner. The payable limits are listed as Coverage A through F. Each Coverage section stated limit, controls the maximum dollar amount the insurance company will be required to pay out.

• Coverage A states the payable dollar limit payable on the dwelling structure-the home itself.
• Coverage B states the payable dollar limit available on a structure not attached to the home such as a guest-house or detached garage.
• Coverage C states the payable dollar limit for personal property contained in Coverage A and B structures.
• Coverage D states the payable dollar limit available vvhen Coverage A and/or B structures cannot be used.
• Coverage E states the payable dollar limit for personal injury arising to third persons as a result of the homeowner's personal family member's or pet's acts which cause injury.
• Coverage F states the payable dollar limit to third persons for medical treatment resulting from injury on the homeowner's property.

Anyone who owns a home needs homeowner insurance. Home ownership ranks nationally as the number one personal investment. If you own your home, free and clear of any loans, it is a wise policy to insure this investment against risks. Lending institutions require the new homeowner or the homeowner refinancing a home to purchase homeowners insurance. Failure to do so will prevent your loan from closing or, in the case of an existing homeowner, results in default of the conditions of their loan.

While a homeowner should not rely exclusively on the coverage levels required by the bank or mortgage company, the homeowner's insurance policy must at least meet these minimums to prevent default. The homeowner should know that the levels of insurance required under the mortgage contract are usually designed to protect the only the house itself. These levels of insurance will not necessarily protect your possessions and will not even protect the house under certain occurrences such as earthquake and flood. While the loss of your home by fire is covered by homeowners insurance, most homeowners do maintain the right amount and type of coverage.

For the Quincy Mutual underwriting Information form click here.