Property Damage Coverage
Part of a standard home insurance policy is protection for the physical premise and structure of your home. This does not include the land beneath it. Your home insurance in Ottawa may cover your physical home as well as any detached private structures from perils such as fire, falling objects, storm damage, high winds, hail, theft, and vandalism. You may need to purchase an endorsement to insure your home against flooding and earthquakes. It is advised to work with a broker to determine the overall replacement cost for your building to ensure you’re adequately insured against potential risks.
Third-Party Liability Coverage
Liability insurance is an integral component of your standard home insurance package. Even if you do not want property insurance or insurance for your physical possessions, having liability insurance can help to protect you and your loved ones should you ever be claimed responsible for someone’s bodily injury or property damage and required to pay medical bills/income replacement costs.
Personal Possessions Coverage
Your home insurance also includes coverage for your personal possessions contained within your home, as well as possessions of yours that you take with you while you’re travelling anywhere in the world. It may cover your belongings from insurable perils such as fire, storm damage, theft, vandalism, etc. High value items, such as collectibles, special electronics, and jewelry, may require an additional policy to include them in your insurance.
Additional Living Expenses
Some standard home insurance policies may include additional living expenses, which is a coverage option that offers compensation for things like temporary living arrangements, food, clothing, and other necessary expenses if you are forced to temporarily evacuate your home as a result of an insurable loss while repairs are being done.
Unless you have a mortgage on your home or if you are financing it through your bank, home insurance in Ottawa is not mandatory. It is, however, recommended, as your home is easily your largest investment and damages could cost you thousands of dollars out of pocket without coverage.
Home insurance costs vary depending on your insurance history, credit score (optional), the age of your property, the age of its systems, materials it was made from, postal code, how close it is to a fire station/hydrant, crime rates in your area, and more. You can work with a broker if you are concerned about the cost of your premiums.
Home insurance won’t cover you against any intentional acts, nor will it cover you against acts of civil unrest, government actions, damages resulting from wear-and-tear or lack of maintenance, infestation, and flooding/earthquake damage without an endorsement.
Depending on your circumstances, you may be eligible for a number of Home insurance discounts. Some of these discounts are listed below:
- Multi-policy discount, which you can get by bundling your auto and home insurance policies with the same insurance provider
- Claims-free discount, if you have no previous claims
- Maturity discount, if you are above a certain age
- Mortgage-free discount, if you have no outstanding mortgage
- Deductible discount, if you’ve chosen a higher deductible/assumed more risk