What You Might Be Getting Wrong About Your Homeowners Insurance

Demystifying the 5 things you’re most likely misunderstanding about your homeowners insurance.
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Homeowners insurance is a contract between you and your insurance company that covers you in a bunch of different situations. Your policy also covers temporary additional living expenses if your place becomes unlivable due to a covered loss.

But beyond those basic facts, insurance can be confusing, and you’re not alone with your questions. In fact, we hear a lot of the same ones over and over again from smart homeowners like you all the time. So we asked our favorite experts—the humans of Team HomeAssurance—to demystify the most commonly misunderstood parts of a homeowners insurance policy. Here’s what we learned.

Retroactive coverage is not a thing

If a thunderstorm sends a favorite tree on your property crashing through your bedroom window, your policy will cover the damage. But if you buy a policy after that accident, expecting it to help? No dice.

It seems obvious, but don’t forget: Your policy only covers you for losses that occur after policy’s start date. Which means you can’t buy one after something happens—you have to have a policy in place ahead of time, for exactly these types of situations.

Hey there, insurance pro!

Still not feeling like an insurance pro? Don’t worry, you don’t need to be an expert on all things insurance when you have a team of experts you can rely on.

If you want to learn more, check out our ultimate guide to homeowners insurance, or scroll through our insurance dictionary to unscramble any confusing terms.