What is meant by property insurance and what does it cover?
Property is anything that an individual legally owns. Hence, whether it is a car, stocks, land, house, or some other form of asset, it is considered a property. As a result, property insurance is a type of insurance that safeguards all such assets.
Types of property insurance
Home insurance: This insurance policy safeguards a homeowner’s home/property/belongings from different types of natural and manmade damages. To avoid paying high repair and restoration costs on their own, homeowners pay a regular premium.
Flood insurance: While most properties are not built in flood prone areas, it is still a wise decision to insure against flood due to natural calamities and the ensuing flooding caused by climate change.
SFSP or Standard fire and special perils insurance: This insurance protects a property owner’s property and belongings against financial losses and damage caused due by explosions, fires, smoke, etc. It protects against all natural calamities and appliances and vehicles that may trigger fires and explosions.
Earthquake insurance: Most home insurance policies do not provide coverage against earthquakes. However, earthquake insurance is necessary, since, minor earthquakes have devastating effects.
Theft insurance: This insurance safeguards against theft of assets. In case assets are stolen, the policy owner need not pay hefty sums for restoration as damages suffered during an attempted and an actual theft are covered.
Want to safeguard your home, property, and possessions starting from today? Consult the financial experts at Arthavidhi to purchase the most suitable insurance policy for your needs.
