Home insurance in Sacramento CA

What is home insurance in Sacramento? Homeowners insurance also referred to as home insurance, is designed to cover loss and damages that may happen to your home. Home insurance can also cover your belongings inside the home and liability if someone is hurt on your property. This form of insurance will take care of the costs of repairing or replacing your house if it is damaged b y a covered peril.

Homeowners insurance is not a state requirement. Although if you carry a mortgage on your home your lender will require you have home insurance coverage before they fund your loan. With your mortgage lender you can choose to pay your monthly payment for your home insurance through escrow. This is a very convenient way to make your payments.

What Does Sacramento Homeowners Insurance Cover?

When you get your home insurance policy in it will be a list of risks you will be covered for called “perils”. A standard home insurance policy will cover you for fire, smoke, theft, wind, vandalism and water damage. If you need coverage for other risks you can look into purchasing additional coverage to fill the gaps.

The four primary types of home insurance coverage:

Dwelling coverage:

If there is damage to your home, dwelling coverage is the portion of your home insurance coverage that will protect it. This part of your policy will help you to rebuild or repair your property if it is damaged or destroyed. Typically you want to carry enough coverage to completely rebuild your home if the worst was to happen.

Perils covered are:

Natural disasters

Fires

Theft

Vandalism

Other structures coverage:

This portion of your home insurance coverage will protect the items that are not attached to your home such as gazebos, fences, garages, sheds and more. These structures will be covered for the same perils as dwelling coverage.

Personal property coverage:

Personal property coverage will cover your possessions within the home such as appliances, furniture, clothing, electronics, and more. Your home insurance provider will repair or replace these items if they are destroyed by a covered peril.

Liability coverage:

If someone is hurt or injured on your property the liability coverage in your policy will protect you. Liability helps to cover medical expenses and legal fees if you’re sued.

What Won’t Sacramento Homeowners Insurance Cover?

There are some risks that will not be included in home insurance in Sacramento CA. There are also some areas that will be excluded from certain perils such as wildfires. You will want to speak to a local agent to see what is and isn’t covered by your home insurance policy.

Below are a few risks that typically are excluded from a standard home insurance policy:

Earthquake damage:

Natural movements such as earthquakes are usually excluded from a standard home insurance policy. If you feel as if this is a risk you need coverage for please look into earthquake insurance.

Flooding:

Some water damage is covered in a typical homeowners insurance policy such as a burst pipe or if your sprinkler system malfunctions. What is not covered is flooding such as heavy rain, sewer backups, and melted snow. If you need coverage for flooding you will want to look into flood insurance.

Different Types Of Sacramento Homeowners Insurance

There are many form of property insurance products. Those products range from condo insurance, renters insurance to standard home insurance for a single family residence. You may hear terms such as HO-1, HO-2, HO-3, and HO-5 insurance. What these are, would be ranges of coverage for home insurance.

The most common form of homeowners insurance is an HO-3 policy. Typically it will cover up to 16 named perils. The covered perils under this policy are:

Fire and smoke
Lightning strikes
Windstorms and hail
Theft
Vandalism

Please keep in mind, the higher the home insurance coverage and policy limits are, the higher the homeowners insurance rate will be.