By Erika Stewart
Home insurance is important to insure that property is protected in the event of emergencies like natural disasters, fires, and even over 
liability issues like a friend or visitor falling and hurting themselves. Having homeowner insurance protects not only the home but its occupants and their possessions.
However, not all home insurance coverage is the same, which is why it is important to compare rates, terms and coverages offered by insurance providers. The right plan means that people will not have to worry if an emergency happens: They will have the right support. The following includes some basic information to help people select the cheapest insurance quotes that offer the most coverage.
Understand the Policy
When reviewing a cheap insurance quote, it is important to read the plan’s details. This ensures that a home owner understands what is and is not covered. After Hurricane Irene, many people thought that they would receive sufficient compensation for damages they suffered.
However, homeowners only had the exterior of their property covered and did not receive payouts for interior damages suffered, and others did not have their personal property covered. Such issues matter since repairing a home can be quite costly.
It would only cost a little more for all the coverage needed. Coverage should cover as much as possible so a homeowner is not put into debt trying to rebuild their home after an emergency or accident.
The Premium or Rate
When a quote or rate is put together, a number of things are considered. First, the company determines the risk of the home owner . This means how likely it is that the insurance policy will be used. The location of the home will determine this. If someone owns a home in a hurricane-prone location, then rates are higher.
The value of the property is also considered. A home worth millions will be more costly to replace, especially if exterior and interior coverage is included. Lastly, cheap insurance quotes can be achieved depending on the overall safety of the home. If this property has up-to-date plumbing and modern wiring along with a security system and smoke alarms, it is less likely to have an issue. Providers want to invest in properties that are safe. Thus, preventative measures go a long way.
The Cost
Different home insurance plans will cost different amounts. On average, one can expect to pay between $500 & $1000 a year for coverage. A homeowner can pay this as a lump sum or have it divided into monthly payments. Different states have different costs for insurance. For example, coverage in California will be higher than coverage in less populated Nebraska. Similarly, different cities will have different rates: New York City or New Orleans have higher risks than a countryside town in Iowa.
Coverage
The cheapest insurance quotes may not be the best. It is important to look at what policies actually cover. The best plans will cover three main things: damage to the structure of the property, loss or damage of possessions and liability issues.
Look to always make sure that both exterior and interior damage is covered if there is a fire or natural disaster. Sometimes, if a person lives in a high risk area, they will need to not only have fire and flood coverage but also a separate disaster policy. Personal belongings like furniture can be covered if it is written into the plan. Lastly, a visitor slipping on the stairs can result in a lawsuit or medical issues. This is why it pays to invest in home insurance that covers liability issues.