Busting 5 Common Home Insurance Myths Event

Busting 5 Common Home Insurance Myths

When you buy a home, insurance is one of those things that we all know we need to have but sometimes we don’t totally understand what it really is or how it works.  

Here are 5 of the most common myths about home insurance, and why they aren’t true.  

Myth: you have to have home insurance  

Many homeowners intertwine home insurance and all other types of insurance, like car insurance. In Canada, it is necessary to have to car insurance, but you do not have to have home insurance.  

Now the catch to this is with mortgages. Technically, if you own your home, you do not legally need to have insurance, but some mortgage lenders may require borrowers to have insurance in order to approve their mortgage. Further, if you live in a condo or are renting/leasing your home you may be required to get insurance.  

Myth: you’ll be covered while away on vacation 

We all enjoy going on vacation, but if your home is left unattended without proper precautions, it could mean your insurance policy doesn’t cover your home. Usually, if the home is left unattended for more than seven consecutive days your coverage will be affected.  

If you’re going away, it’s important to make sure someone is checking in on your home every couple of days. They should be looking for any leaking pipes or other issues that can damage your home. Also, if you’re going away for an extended period of time, you may want to let your insurance provider know you are out of town and make sure you have the necessary coverage.  

Myth: your landlord’s insurance will cover you as a renter 

Landlords will, most likely, have insurance on the physical building but typically this is just to cover the building itself and doesn’t include coverage on the contents inside the building.  

If you are renting, don’t count on the landlord’s insurance to cover you if something happens – like water damage. Make sure you get your own renter’s insurance so that your personal belongings are covered. 

Myth: renovations won’t impact your insurance 

Now if you decided to put new cabinets in or paint your home a different colour, that doesn’t have an impact on your home insurance. However, if you decide to completely finish your basement or put an addition onto your home that could affect the coverage you have on your home insurance. If you’re considering major renovations to your home, check with your insurance provider before starting.  

Myth: insurance covers everything inside your home 

Many homeowners think that when they get insurance, their home and everything in it is covered. Generally speaking, your insurance will cover everything in your home but there are usually some limits on the amount of coverage you have. If you have questions about exactly what is covered, it’s best to speak with your insurance broker to understand what is in your policy and if you may need more coverage in certain areas.  

Contact ICD Insurance today 

Understanding what is in your insurance policy is crucial to making sure you have the right coverage for you. Paying for insurance you don’t need, or that doesn’t cover everything you need simply doesn’t make sense. If you have questions about your home insurance policy, contact us today to speak to a broker.