While buying a home, you are always advised to get a home insurance. But do you know what a home insurance is and what are its benefits?

The type of property insurance that covers private homes is called home insurance. This home insurance policy protects the home and the homeowners from the loss that can occur due to damage to the home and its contents. Also, the liabilities for public accidents like fire occurring at home leading to damage of personal possessions are also covered in the home insurance policies.

Information of the property like the property value and materials used for building construction must be provided to the insurers. Many insurers will reject to insure properties that are prone to too much risk. Such properties are the cottages, holiday homes and homes in areas that are heavily prone to floods. The insurance policy is basically a contract and states what features are covered and what are not in the policy. As the insurance policy holder, you must pay a minimum premium to the company offering to insure your home. The premium you will have to pay depends on the level of risk your home is prone to!

The building insurance is important while applying for mortgage. This can be covered in home insurance and also landlord insurance. Landlord insurance is based on property usage. In case of a fire accident, the building insurance will cover up for the costs of repair or rebuilding the property. You can also get your permanent fittings like baths and kitchen fittings insured in the building insurance. The building insurance pays up for all events that are out of human control like fire, flood, water leakage and vandalism. This insurance is crucial for landlords and home owners. But for the tenants, this is taken care of by the landlord. One attracting feature of the building insurance is that it provides for an alternative accommodation when the building becomes unfit to be occupied.

The contents insurance covers all non fixtures like furniture, appliances, electronic goods and clothing. This policy insures the items against dangers like fire, theft and flood. You can also get your watches, mobiles and bicycles insured with this policy. Though this insurance is crucial for tenants, it is also applicable to homeowners.

Hence it is highly recommendable for homeowners, landlords and tenants to insure their building and its contents by getting a home insurance to safeguard their property!!

For additional resources and information please visit the following sites.

Resource Links:
http://www.gmacrealestate.com
Bill Fields All Star Coaching Program: http://www.AllStarCoaching.net
GreatWest GMAC Search all MLS Listings: http://www.LocalHomeLink.com
GreatWest GMAC Consumer Buyer/Seller Blog: http://www.GreatWestBlog.com
T. Sami Siddiqui (Broker/ Owner) Buzz About Sacramento Blog: http://www.samisiddiquiblog.com
Brodie Stephens (Executive Vice President) One Stop Blog: http://www.brodiestephensblog.com
GreatWest Podcasts- Weekly Updates on new REO, Short Sale, Bank Owned Foreclosure Listings: http://www.HouseTalkOnline.com
GreatWest Videos: http://www.youtube.com/brodiestephens
Facebook Brodie Stephens Profile Page: http://www.facebook.com/brodiestephens
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MySpace Brodie Stephens Blog: http://www.myspace.com/brodiestephens
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GreatWest Real Estate Careers- GMAC is looking for Professional Realtors to Join Us: http://www.CareersWithUs.com
Global Employee Relocation: http://www.employeerelocation.blogspot.com
Apply for a Loan: http://www.choice1funding.com
ActiveRain Blog Brodie http://activerain.com/blogs/brodiestephens
ActiveRain Blog Companyhttp://activerain.com/blogs/greatwestgmac
Sacbeehttp://www.sacbee.com
Company WordPress Sitehttp://www.thehomeholders.com
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