What Does Home Owner Insurance Cover?

Wai Cheng Insurance Inc. in Bay Area, CA is happy to help the area residents with all their insurance needs. When you go to buy a home, you also need to get homeowner’s insurance. However, you may be overwhelmed by all of the choices that you may have. There are different prices because some cover more than others. 

That being said, a standard homeowner’s insurance will cover basically the same things.

These include: 

Repair and replacement. Most standard insurance policies will cover the cost to repair and replace your home (and everything in it) if there is damage. This may be due to fire, smoke, or even storm damage. Most also cover damage due to theft and vandalism. 

Outbuildings. Most policies will cover the repair or replacement of outbuildings that are on your property, such as garages and barns. If you have a swimming pool, swing set, or fence, that may also be covered. 

Alternative lodging. If your home is severely damaged, and you need to live elsewhere, your expenses may also be paid by your insurance company. 

Liability. Liability will protect you if someone gets injured on your property. It will pay for their medical expenses. If you are sued, it will help to cover your legal fees.

Though you may want to save some money, the truth is that you need to have homeowners insurance. It will cover the expense of fixing your home, as well as any outbuildings that you may have. It also covers liability, which will protect you in case someone is seriously injured at your home. 

Get Home Insurance Today

If you want to make sure that your home is protected in the Bay Area, CA, don’t hesitate to contact us today at Wai Cheng Insurance Inc. 

How to Build an Emergency Preparedness Kit

Any time is a great time to start thinking about emergency preparedness. For those who live in disaster-prone areas like Bay Area, CA, it is essential to have an emergency kit on hand. 

Here are some tips from Wai Cheng Insurance Inc. on what to include in your emergency preparedness kit.

Why You Need an Emergency Supplies Kit

Regardless of your location or climate, you can be affected by natural disasters. Earthquakes, hurricanes, tornadoes, and floods are all possible threats in any part of the world.

In an emergency, it is essential to have a kit of supplies that will last you and your family for at least 72 hours. Preparing a kit of supplies in advance will help you weather any emergency.

What to Include in Your Emergency Supplies Kit

When assembling your emergency supplies kit, make sure to include the following:

  • A three-day supply of non-perishable food and water

  • A first-aid kit

  • A flashlight

  • A battery-operated radio

  • Extra batteries

  • A map of the area

  • A whistle

  • A dust mask

  • Moist towelettes

  • Garbage bags

  • A can opener

  • A wrench or pliers

  • An emergency flare

  • A multi-purpose tool

  • A charged cell phone

How to Assemble and Maintain Your Emergency Supplies Kit

Your emergency kits can be assembled into new, clean backpacks, plastic bins, or other easy-to-move storage containers. Store the kits in a cool, dry place, preferably close to whichever room you will shelter in. Check your supplies at least once a year, swapping out expired items as needed.

When disaster strikes, the last thing you want to worry about is your home insurance coverage. Wai Cheng Insurance Inc. is a Bay Area, CA based insurance company that offers dwelling coverage, personal property coverage, and liability coverage. Reach out to us today to learn more.

Home Insurance: What to Know Before You Buy

Home insurance is one of those things that you hope you never have to use, but it’s there for peace of mind in case the worst happens. Since your home is likely your most valuable asset, it makes sense to protect it in case of fire, theft, or other damage.

But what exactly does home insurance cover? And how much should you buy?

Wai Cheng Insurance Inc. in Bay Area, CA explores these questions and more in this guide, so you can make an informed decision about whether home insurance is right for you. 

What Does Home Insurance Cover?

Home insurance typically covers the structure of your home and your personal belongings inside. This can include things like furniture, clothing, and electronics. Some policies also cover detached structures on your property, like a shed or garage. If you have valuable items like jewelry or art, you may want to add them to your policy as well.

Most home insurance policies will also cover some amount of liability in case someone is injured on your property. This can be helpful if, for example, a delivery person slips and falls on your front steps.

What Does Home Insurance Not Cover?

There are some things that home insurance doesn’t cover, such as damage from earthquakes or floods. You may be able to purchase additional coverage for these types of disasters, but it’s important to know that they’re not typically included in a standard home insurance policy.

Another thing to keep in mind is that home insurance generally won’t cover damage resulting from poor maintenance. So, if your roof leaks because you haven’t had it repaired in a while, your home insurance policy probably won’t cover the resulting damage.

How Much Home Insurance Should You Buy?

The amount of home insurance you need depends on a few factors, such as the value of your home and belongings and the amount of liability coverage you feel comfortable with. It’s a good idea to get an estimate of the replacement cost of your home before you start shopping for insurance, so you have an idea of how much coverage you need.

Now that you know a bit more about home insurance, you can decide if it’s right for you. If you’re looking for home insurance in the Bay Area, CA, Wai Cheng Insurance Inc. can help. We offer a variety of coverage options to meet your needs and budget. Contact us today for a free quote.

Home Insurance Buying Guide

Although homeowners insurance is not legally required – unless you have a mortgage – it is truly a necessity. In short, home insurance protects both your home and belongings from covered perils like damage and theft. 

What is Covered By Homeowners Insurance

In the event of a covered incident such as fire, hurricanes, vandalism, and lightning your insurer will pay for your house to be repaired or rebuilt up to your policy limits. Bear in mind that destruction from earthquakes, floods, and improper home maintenance is not likely to be covered. If your home has any free-standing structures like a garage or sheds these may need a separate policy to be covered. Contents inside your home including furniture, art, jewelry, appliances, clothing, and electronics are covered if destroyed during a covered disaster. Most policies will provide coverage on your belongings for between 50% to 70% of your home structure’s cost. For example,  if your home is insured for $200,000 then there would be up to $140,000 of coverage for your personal belongings. 

Liability Coverage

Liability coverage protects you from being sued by third parties due to accidents that happen at your house. Examples include a repairperson slipping on icy steps, a dog biting a neighbor, and more. The more possessions you own and the higher value they possess, the more liability insurance that you’ll want to purchase. 

At Wai Cheng Insurance Inc. in Bay Area, CA our talented team of insurance professionals knows the insurance market better than the rest and are happy to help with all your home insurance needs. We’ll create a customized insurance policy that ensures your home, possessions, and interests are protected should a claim ever need to be filed. 

Home Insurance Exclusions

You have purchased home insurance from Wai Cheng Insurance Inc. for your Bay Area, CA, so it should cover everything? Wrong! While home insurance covers numerous risks, including fire, theft, vandalism, and natural disasters, it has exclusions. And taking note of these exclusions and exceptions is crucial to know what supplementary coverages you need.

Let’s take a look at common exclusions for typical home insurance.

Floods

Home insurance covers flooding if a covered event causes it. For instance, home insurance will cover the damage if water damage results from leaky pipes or a faulty roof. However, for overland flooding, you must purchase flood insurance to protect your dwelling and its contents.

Earth movement

Your home insurance won’t cover you when earthquakes, sinkholes, and mudslides knock on your doors. However, you can buy additional coverage to get protection from these risks. 

Intentional / preventable loss

You can’t break your glass door intentionally and run to your insurer for compensation. Similarly, your insurer won’t come to your aid for damage that’s preventable. For instance, damage from pest infestation can be prevented by extermination and proper upkeep of your home. 

Business-related claims

When you start a home-based business, your home insurance won’t cover business-related claims. For instance, if a customer falls or slips in your home while attending a meeting, your home insurance won’t cover medical costs for their treatment. Home insurance only covers the aspects of your home — the building and its contents.

If you need coverage for your home-based business, consider commercial insurance for optimal coverage.

Luxury items

Home insurance provides limited coverage for high-value items like cash, silverware, art, and jewelry. However, you can obtain separate coverage for items with a high price tag.

Get home insurance today!

Are you looking for affordable home insurance in Bay Area, CA, and its environs? Don’t hesitate to get in touch with Wai Cheng Insurance Inc. 

What Are the Most Common Home Insurance Claims?

The professionals at Wai Cheng Insurance Inc, serving the Bay Area, CA have vast experience with home insurance and are well versed in all of the different types of claims associated with home insurance policies.

Homeowner’s insurance is not required by the government to be carried by homeowners, but most mortgage lenders do require their borrowers to carry coverage in order to secure a mortgage. 

There are a wide variety of reasons why policyholders will file insurance claims. There are a handful of claims that are made much more frequently than all others. These are:

  • Exterior Wind Damage (accounts for approximately 24% of all insurance claims) – this could be from storms such as hurricanes and tornadoes.
  • Water Damage (not weather related) (accounts for approximately 20% of all claims) – these are often incidents such as leaks, pipes bursting and other related issues that happen in the home.
  • Hail (accounts for approximately 16% of all claims) – this is related to hurricanes, thunderstorms and tornadoes
  • Weather related water damage (accounts for approximately 11% of all claims) – this encompasses flooding and other water damage from storms and adverse weather
  • Theft (accounts for approximately 6% of all claims) – this includes break-ins and items being removed from the home by burglars

These five claims make up nearly 80% of all home insurance claims.  Although it is not one of the most common claims, fire is the most costly claim made to home insurance agencies. It was responsible for about 25% of all insurance claims paid out to insured policyholders who made claims.

To find out more about home insurance in the Bay Area, CA, contact Wai Cheng Insurance Inc. today!

4 Things You Should Know About Home Insurance

Whether it’s a new house or you have already settled your mortgage, you need home insurance from Wai Cheng Insurance Inc. of Bay Area, CA for optimal protection. While most homeowners recognize that home insurance is vital, most don’t understand what it covers and its exclusions. Thankfully, when you partner with a knowledgeable insurance agent, understanding home insurance becomes a simple topic to digest.

Before purchasing home insurance for your home, here are four things you should have in mind to make an informed decision.

Home insurance covers more than one area.

Home insurance is designed to cover homeowners against various risks. Home insurance protects your home from damage or loss against:

  • Theft
  • Vandalism
  • Lightning
  • Hail
  • Windstorms
  • Fire or smoke

Besides perils, home insurance offers coverage in the below areas:

  • Liability protection
  • Medical payments
  • Additional living expenses (ALE) coverage
  • Personal contents coverage

As you can see, home insurance deploys a multi-dimensional approach to protect homeowners.

Not everything is covered.

While home insurance covers most perils, it won’t protect you against damage from floods and earthquakes. Additionally, home insurance provides limited coverage to high-value items like fur, cash, jewelry, and guns. If you have unique considerations, talk to your agent for separate insurance policies.

Update your home insurance often.

How often should you update your home insurance policy? As a rule of thumb, you might want to relook at your home insurance policy every year. However, you need to update your plan for optimal coverage in case of significant renovations and additions.

Deductibles apply in home insurance.

Just like most insurance plans, deductibles apply to home insurance. These are amounts that you pay in advance before your insurer starts paying. The amount of deductibles could be a fixed dollar amount or a percentage of the home insured value.

Are you looking for home insurance to protect your Bay Area, CA home? Please contact Wai Cheng Insurance Inc. today for an affordable quote.