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Summerville, SC 29483
Common Home Owners Insurance Terms
Your Source for Home Owner's Insurance Information in Charleston, SC
When you're looking to protect your home, you don't want to leave any holes in your holes. The agents at C2G Capital Management LLC will make sure you understand exactly what you're getting from your home owner's insurance
and fit you with the policy that best answers the most of your concerns within your budget. Give us a call
today to schedule a consultation with the top team in Charleston, SC, and get a head start on your appointment by reviewing this list of common home insurance terms.
Common Home Owner's Insurance Terms
Additional Living Expenses (ALE)
- Reimburses the policyholder for the cost of temporary housing, food, and other essential living expenses, if the home is damaged by a covered peril that makes the home temporarily uninhabitable. Policies cap the amount of ALE payable to 20 percent of the policy's dwelling coverage.
Appraisal
- An evaluation of a home insurance property claim by an authorized person to determine property value or damaged property value. Many policies provide an "appraisal" process to resolve claim disputes. In this process, you and the insurance company hire separate damage appraisers. The two appraisers choose a third appraiser to act as an "umpire." The appraisers then review your claim, and the umpire rules on any disagreements. The umpire's decision is binding on you and the insurance company, but only for the loss amount. If there is a dispute over what is covered, you can still pursue a settlement of the coverage issue after the appraisal takes place. You are required to pay for your appraiser and half of the umpire's costs.
Depreciation
- The lowering of property's value over time due to use or wear and tear.
Inflation Protection
- Automatically adjusts your home insurance policy limits to account for increases in the costs to repair or rebuild a property.
Liability
- Protects you against financial loss if you are sued and found legally responsible for someone else's injury or property damage.
Loss of Use
- A provision in homeowners and renters insurance policies that reimburses policyholders for the additional costs (housing, food, and other essentials) of having to live elsewhere while the home is being restored following a disaster.
Market Value
- The current value of your home, including the price of land.
Personal Property
- All tangible property (other than land) that is either temporary or movable in some way, such as furniture, jewelry, electronics, etc.
Property Damage
- Physical damage to property.
Renters Insurance
- A form of insurance that covers a policyholder's belongings against perils. It also provides personal liability coverage and additional living expenses. Possessions can be covered for their replacement cost or the actual cash value, which includes depreciation.
Single Interest
- Insurance coverage for only one of the parties having an insurable interest in that property. For instance, if you still owe money on your mortgage and do not have homeowners insurance, your lender may take out a single interest insurance policy to protect its own interest in your property. Single interest insurance protects only the policy owner, not the homeowner.