Dwelling Fire Insurance in Abilene, TX & all of Oklahoma, Alabama & Texas
Texas Dwelling Fire Insurance
Dwelling fire insurance offers coverages analogous to standard home insurance, but far narrower in scope. A dwelling fire policy can provide coverage on more than just fire and smoke damage, though. T0.he key difference between the two policies is that homeowner policies are listed exclusion policies, whereas dwelling fire policies are named peril policies.
What’s the Difference Between Named Peril Policies & Listed Exclusion Policies?
A listed exclusion policy automatically covers any peril not listed in the policy’s waivers and exclusions section. A named peril policy automatically excludes coverage of any peril not named in the policy’s named peril section.
If a dwelling fire insurance policy doesn’t specifically designate coverage for a specific event/peril, it is not covered. Another way to think of a named peril policy might be to think of it as à la carte insurance—the insured pays only for the coverages he/she adds to the policy.
Should I Purchase Dwelling Fire Insurance or Standard Home Insurance?
Dwelling fire insurance is most often sold to landlords who need to insure the building, but not the contents within (which mostly belong to tenants). However, a limited amount of personal property coverage can be added to a dwelling fire policy to cover any personal possessions the landlord may own inside the property.
Other property owners who sometimes purchase dwelling fire insurance include:
- Owners needing to insure under-construction properties
- Owners who live in the insured property only part time
- Owners whose homes don’t have much cash value
- Owners who need to insure vacant property
Can I Purchase Dwelling Fire Insurance for the Home I Live In?
The answer is a qualified “yes.” However, most homeowners are best advised to purchase traditional home insurance for their main residence, as these policies offer the best, most comprehensive homeowner coverage.
However, a dwelling fire policy might be the best option for certain homeowners, including:
- Homeowners with a large number of prior claims
- Homeowners needing coverage for specific perils not covered in standard policies (e.g., expensive and/or exotic additions, antique structures, etc.)
- Homeowners with prior coverage lapses
- Homeowners who share the home’s deed with others
What Does Dwelling Fire Insurance Cover?
Besides “fire and smoke damage,” most dwelling fire policies also include limited weather coverage for wind and lightning. Certain dwelling fire policies also feature:
- Loss of Rents coverage
- Other Structures coverage
- Personal Liability & Medical Payments coverage
And as mentioned, dwelling fire policyholders have many choices regarding add-on coverages:
- Required demolition coverage (Ordinance or Law)
- Theft coverage
- Personal contents coverage
- Rent reimbursement coverage
- Additional living expense coverage
- Equipment breakdown coverage
- Vandalism coverage
- Additional weather-related coverage
Dwelling Fire Insurance Loss Settlement Options?
Owners can reduce the cost of a fire dwelling policy by choosing to cover the property for “actual cash value,” as opposed to covering it for “replacement cost.” The replacement cost option includes a higher premium, but guarantees sufficient reimbursement to replace damaged property or to rebuild in case of total loss. Conversely, the actual cash value option only reimburses for the current, actual property value and is a better option for owners without mortgaged properties who aren’t determined or required to rebuild.
For a Free Fire Dwelling Insurance Quote, Contact Wicker-Parker Insurance Agency
If you’re shopping for fire dwelling insurance in Bonita Springs, Florida, we’d be thrilled to hear from you! As an independent insurance agency in Bonita Springs, FL, we partner with numerous fire dwelling insurance carriers, and can do the shopping around for you!
We’ll answer all your questions about dwelling fire insurance and help you make informed coverage decisions. For a free dwelling fire insurance quote, click here, or call Wicker-Parker Insurance Agency today at 325-437-0677!