You can never know for certain when a natural disaster will happen. However, depending on where you live in California, the chances of such an occurrence happening are rather slim.
Still, knowing that your home has adequate protection can provide a lot of comfort and reassurance. Assessing your situation can help you determine whether catastrophe insurance is worth the investment for you.
Homeowner’s insurance
The law does not require you to have homeowner’s insurance coverage. However, many lenders issue a requirement that you have homeowner’s insurance before they will approve you for a loan. Basic home insurance may protect you from damages that happen in circumstances including the following:
- Theft or vandalism
- Wind
- Explosion
- Fire or smoke
Insurance policies will vary depending on your provider. Thoroughly reading through your policy and knowing the risks of the environment where you reside can help you select coverage that will meet your unique circumstances.
Disaster coverage
Catastrophe insurance is essentially an extension of homeowner’s insurance. Its coverage corresponds to risks that your home may fall victim to because of its location. According to MSN, some common disaster coverage types include tornadoes, hurricanes, floods, tsunamis and earthquakes. While you certainly do not need to purchase additional coverage, investing in supplemental insurance can prove quite beneficial if you live in an area where there are higher risks of natural disasters occurring.
If your home does sustain damage following an unexpected event and your insurance provider refuses to provide coverage, you may need to file a claim. Working with an attorney may give you the support you need to build a case.
