How serious is the threat of house fires in this country ?
In 2006, there were more than 400,000 house fires nationwide, resulting
in direct costs of nearly $7 billion.
Are losses due to fire covered in basic homeowner’s insurance?
Unless you have a very unusual, specialized policy, your homeowner’s
insurance covers fire losses.
What is specifically covered by insurance?
- The dwelling itself. If it burns to the ground, the cost of rebuilding
is covered.
- Other structures, such as a garage or shed.
- The contents of your house – basically, all the stuff your
family owns.
- Living expenses – the cost of an apartment or hotel room for
you to live in while your house is rebuilt.
What should be done ahead of time to make sure you’re
fully covered in the event of a fire?
Go over your policy with your insurance agent and ask a lot of questions.
Make sure your coverage is high enough to cover the cost of rebuilding –
For example, if your house is old, it may cost you more than you expect
due to recent building codes.
Review you policy as to coverage and make an inventory of the contents
of your home.
