The Impacts of COVID-19 on Home Insurance

Amid the pandemic, everyone is expected to stay indoors. Almost everything is done remotely, and leaving the house means higher risks of contracting coronavirus. In these trying times, keeping homes safe is very essential. 
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Around the globe, industries, including insurance, were heavily affected by COVID-19. Here are some of the things the insured need to know about the pandemic’s impacts on home insurance. 

The Case Of New Homebuyers
If someone plans to buy a house and has a secured job, now’s the right time. Applying for a mortgage during this pandemic is a smart move because COVID-19 has caused interest rates to drop. 

Additionally, home insurance agencies have started to offer solutions for existing policyholders. New homebuyers who need coverage for mortgage requirements can also obtain these. What interested buyers can do is contact insurance companies and check whether they can be accommodated or not.

Home Insurance Coverage
The insured might want to know how the pandemic impacts their home insurance coverage. Below are the effects of the coronavirus on the different coverages in home insurance policies.

Property Coverage
Since the pandemic wouldn’t directly affect the home and personal possessions, it can’t affect property coverage. However, more hours at home due to remote work and school set-ups could entail more liability coverage.

Moreover, if someone is paying for home-sharing coverage for rental properties, pausing that coverage could lower costs. People can do this if they’re currently not able to rent out properties through short-term rentals.

Personal Liability Coverage
In events that the insured is held liable for accidents, this coverage will allow the reimbursement of legal expenses. This coverage is vital for homeowners with pets and kids. Damage or injury caused by dependents or pets is the insured’s responsibility. 

Be it a backyard playground or pets; it’s essential to keep in mind that kids wander around due to homeschooling. Keep in mind the limits of the home insurance policy. Coverage is assured if someone gets injured on the insured’s property. However, having at least $300,00 worth of liability coverage is recommended.

Conclusion
While properties can’t catch the virus, it’s essential to know how it can affect home insurance coverage.

​At AllRisk Auto Insurance, we put our clients first by offering them policies that they can afford. Having insurance is a necessity nowadays, and we're here to help you out. Learn more about our products and services by calling our agency at (360) 693-4044. You can also request a free quote by CLICKING HERE.