1. Managing Resources Personal Finance Unit 5 Homeowner’s Insurance

2. A package of insurance that includes both liability insurance and protection for personal and real property A package of insurance that includes both liability insurance and protection for personal and real property Try to insure your house/apartment and its contents for at least 80% of the replacement value Try to insure your house/apartment and its contents for at least 80% of the replacement value

3. Terms A.PERIL—dangers, the cause of loss --fire, windstorm, flood, earthquake, collision, hurricane --some of these may be excluded from a policy B.PERSONAL PROPERTY—all tangible possessions except land and anything fixed permanently to the land --clothes, stereos, furniture, books 1.Be sure to take pictures and keep receipts for everything you might have to prove you owned at the time of loss 2.Items of great value (jewelry, furs) are only protected up to a certain limit 3.Also provides protection for property away from home (lostluggage, hotel theft) 4.If your house/apartment burns down or is uninhabitable, you can move to a hotel and the insurance policy will take care of your living expenses for a designated length of time

4. Personal Liability Insurance Helps pay for expenses of injuries you may cause to others 1.Protects you if someone is accidentally on your property or if you are sued for negligence of any kind 1.Protects you if someone is accidentally on your property or if you are sued for negligence of any kind 2.Will cover medical expenses of anyone who is injured on your property OR injured by the policyholder or a family member 2.Will cover medical expenses of anyone who is injured on your property OR injured by the policyholder or a family member

5. Renter’s Insurance Insures household contents and personal belongings, not the dwelling. Insures household contents and personal belongings, not the dwelling.