In British Columbia when you get a mortgage to purchase a home, normally, having home insurance is a requirement from the lender. Once your mortgage is paid off it becomes the decision home owner if they wish to have it. From a financial aspect the benefits vastly out weigh the the cons.
Home insurance policies protect you from damage and losses to your home, possessions and your liability if someone is injured on your property. Since each policy is different, your coverage is determined when you purchase your home insurance. Some policies have perils that will be covered like theft, fire and storms. There are perils that are not standard like earthquakes, wild fires and landslides but these can be purchased separately at the time you get your policy or even add them in at a later date.
Here is a summary of what is covered under the typical home insurance policy.
Coverage for your building and any listed detached structures like a garage, shed, and pool house.+
Coverage your belongings, including. clothes. furniture, electronics, and other personal property. There are limits for some items like jewelry.
Helps cover expenses that would occur if you have to live away for a period of time, including hotels, meals, storage and more.
Protect you financially from accidents that causes bodily injuries or property damage to others while they’re on your property.
** A typical home insurance policy does not cover your property taxes, mortgage payments or the land.