Property Protection: Scope
The main purpose of buying property insurance is to have something that would protect your property and cover any loss or damage caused by fire, theft, earthquakes, or flood. There are four main scopes of property insurance.
First, it covers your dwelling, or the house you’re living in. It also covers built-in appliances, electrical wiring, and permanently installed AC’s.
Second, the policy covers separate structures in your home, such as your garage, driveways, sidewalks, and even gates and fences. However, if those detached structures are only used solely for business purposes, they’re not included in the homeowner’s insurance coverage.
The third one covers your personal valuables. It also includes any items belonging to your family members. You could have additional coverage for fine art, firearms, jewelry, or even money. Lastly, your policy covers expenses that exceed your normal expenses in case you cannot live in your home temporarily, i.e. if repairs are being done.