1. Lesson 2: Homeowners’ Insurance
I. Read through the lesson.
II. Some important things to focus on:
a. Homeowners’ insurance vs. tenants’ insurance:
i. Homeowners’: for building and contents
ii. Tenants’: for contents only
b. Premiums: what you pay in a year for the coverage
c. Make a claim: if you building or goods are damaged
or destroyed, you tell the insurance company, and if
your plan covered the item that was damaged or
destroyed, the company will pay to have it replaced.
d. Deductible: If you make a claim, you must pay a
certain amount to the insurance company, and then
they pay for the remainder of the damages’ costs.
This is often $500, but you can change this to $200
only, although you have to pay a higher premium.
e. Location of property (homeowners’ insurance): see
the table on the top of page VC-18 to determine what
“Area #” applies to the property.