Perils covered by property insurance typically include select weather-related afflictions, including damage caused by fire, smoke, wind, hail, the impact of snow and ice, lightning, and more.
Property insurance also protects against vandalism and theft, covering the structure and its contents.
Property insurance also provides liability coverage in case someone other than the property owner or renter is injured while on the property and decides to sue.
Most mortgage lenders require homeowners to have property insurance if there’s an outstanding mortgage loan on the property.
Property insurance policies normally exclude damage that results from a variety of events, including tsunamis, floods, drain and sewer backups, seeping groundwater, standing water, and a number of other sources of water.
Mold is usually not covered, nor is the damage from an earthquake. In addition, most policies will not cover extreme circumstances, such as nuclear events, acts of war or terrorism.
