Ans.It is not compulsory to buy a home insurance policy for homeowners.

Therefore, the banks cannot urge you to purchase a home insurance policy from them only. In case you need a home insurance policy to protect your heavy possession? Then your answer depends upon your choice.

However, with the help of a home insurance policy, you get extensive coverage for any kind of natural disaster such as cyclones, earthquakes or landslides, theft, and many more.

Ans.A standard home insurance policy usually covers four types of coverage which are as follows-

Personal Property Cover-It covers all the personal articles and belongings inside the home. Liability Cover-It covers the bodily injuries suffered by any visitor who has been there in your house for the time being.

Dwelling Cover-It protects the damages against your home's physical infrastructure.

Additional Expenses Cover-Any extra living expenses that might come up if you are displaced from your house for a while.

Ans.There are a few factors that affect the price of a home insurance policy-

Location of the House-If your house is located in a high disaster-prone area or an area close to the sea, there are chances you might get hit by storms, cyclones, tsunamis, etc., which affects the premium rates. Therefore, the house location will determine the premium for your home insurance. Structure of the House-Some of the impactful factors can be the structure of the house that includes roof type, wiring, age of the house, etc. All these factors lead to an increase in the price of the premium. Older house means higher insurance prices. Moreover, quality materials used in the construction like bricks, stone, and wood can help you in lowering the house insurance premium. Credit Score-Usually, personal factors like your credit score or credit history will help in deciding the premium amount. We suggest you maintain a good credit score to avail of insurance at a lower premium. Installing Safety Devices-Installation of safety devices like a fire alarm, fire extinguishers, smoke detector, burglar alarm system, deadbolt locks, etc., will help you lower the premium amount.

Ans. Do Insurance Companies Cancel the Coverage During an Ongoing Policy Period? If Yes, Then Why So?

Some of the most common exclusions of a home insurance policy are as follows- It does not cover the damages caused to your pet, bird, or fish living in the house. Any damages to the house due to carelessness or reckless act, for example- loss due to leaked drainage system, surface water, clogged water, or gas pipe leakage. Any damages due to war, riots, nuclear damage, etc. Do not cover any automobiles or commercial property damages.