A house is often a family’s largest asset. Homeowners insurance packages property coverage for the dwelling and contents with liability protection for the residents. It responds to fire, wind, theft, and other named or open perils, subject to exclusions such as flood and earthquake.

Coverage parts typically include the dwelling, other structures, personal property, loss of use, personal liability, and medical payments to others. Replacement-cost and actual-cash-value options affect how personal property claims are settled. Endorsements can add scheduled valuable items, home-business liability, or ordinance-or-law coverage.

Premiums depend on construction, location, claims history, and chosen deductibles and limits. Insurers may require specific deductibles for wind or hail in catastrophe-prone areas. Regular updating of coverage limits to reflect rebuilding costs helps avoid underinsurance after a total loss.

• Package of property and liability coverages for residences
• Covers dwelling, contents, and personal liability
• Excludes flood and typically earthquake
• Limits and deductibles should match rebuilding costs