Helpful information for Oklahomans from wheat fields to city streets.
07/05/2023
Home insurance is an important aspect of protecting your property and belongings from unexpected events. However, navigating through the complex world of insurance policies can be overwhelming, especially if you’re new and unfamiliar with the terms. To help you make informed decisions, we’ve compiled a list of essential home insurance terms that you should know.
Additional Living Expense coverage is a crucial aspect of home insurance. It provides coverage for extra day-to-day expenses incurred when you and your family are unable to live in your home due to a covered loss. This coverage can help you pay for temporary housing, meals, transportation and other necessary costs during the time it takes to repair or rebuild your home. Knowing that your insurance policy includes Additional Living Expense coverage can provide peace of mind during challenging times.
Loss Assessment coverage is particularly relevant for people with Condo Owners Insurance. It offers limited coverage for loss assessments made by your condo association or governing body for damage to the building. In the event that the common areas or shared structures suffer a loss not covered by the association’s insurance, this coverage can help protect you from unexpected expenses. Remember, it’s essential to review your policy carefully to determine the extent of coverage provided. Talk to your local OKFB agent to see what your policy covers.
Personal Property coverage is designed to protect the personal belongings in your home. In case of damage or theft, this coverage helps cover the cost of repairing or replacing your possessions. From furniture and electronics to clothing and jewelry, personal property coverage ensures that you are protected financially if your belongings get damaged or stolen. It’s advisable to maintain an inventory of your personal property and keep records of their value to simplify the claims process.
This term refers to a home in which the owner also resides. This distinction is important because owner-occupied properties often have different coverage requirements compared to properties that are rented out or left unoccupied. Policies for owner-occupied homes may offer additional protections or discounts based on the assumption that the owner takes more responsibility for the property’s upkeep and security.
A tenant is someone who lives in a home that they do not own. It’s essential for tenants to understand that their landlord’s insurance policy typically does not cover their personal belongings. As a tenant, you may need to obtain a separate renter’s insurance policy to protect your personal property. Renter’s Insurance provides coverage that is similar to homeowner’s insurance but tailored to the needs of tenants.
Fixtures are permanently attached to a property, such as sinks, built-in appliances, lighting fixtures and cabinets. These items are typically covered under the dwelling coverage, which protects the structure of your home from covered perils. It’s important to understand what fixtures are covered under your policy, as different insurers have different coverage limits.
By familiarizing yourself with these essential home insurance terms, you can better understand your policies and make informed decisions. Remember to review your policy carefully, ask your local OKFB agent any questions and regularly reassess your coverage to ensure it aligns with your needs.
Whether you’re shopping for life insurance or want to update your policies, we have agents who can help. If you have questions or concerns that you want to discuss, connect with your local OKFB agent today. If you have any insurance-specific questions, we would love to help you find the coverage that best meets your home, auto, commercial and life insurance needs.
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The information on this website is not a contract, as it is provided for general information to explain potential types of insurance coverages. Further, descriptions do not refer to any specific contract of insurance and they do not modify any definitions, exclusions or any other provision expressly stated in any contracts of insurance. Please read actual policy documents for important details on coverages, exclusions, limits, conditions, and terms. If there is any conflict between the summary and/or information on this website versus the policy documents, the policy documents shall control. Please contact an Oklahoma Farm Bureau Mutual Insurance Company (OFBMIC) Agent to learn more about insurance coverages offered by and through OFBMIC.
Life insurance and annuity products are offered through Farm Bureau Life Insurance Company/West Des Moines, IA and are intended for residents of AZ, IA, ID, KS, MN, MT, ND, NE, NM, OK, SD, UT, WI and WY.
