You have just moved and need to get insurance for your new home. Many believe that they can simply transfer their existing homeowners insurance policy, but this is not accurate. Being that homeowners insurance is dwelling and area specific, one needs to have the policy rewritten after a move. This is if your current insurance company will write a policy in your new area.

TUTORIAL: Buying A Home

Make certain you call the company to find out if they can write a new policy in your new area. If they can, the company will send out an underwriter to assess the risks in your new home prior to issuing a new policy. If your present insurance company cannot issue a new policy, it's time to start looking for another company. In fact, it's smart to shop rates and plans regardless of if your present company can write the policy. This is the only way to get the best rates and terms on a homeowner's insurance policy. (For more, read 5 Myths About Homeowner's Insurance.)

Most homeowner's policies are very similar. They contain property protection and liability protection sections.

Property Protection
The property protection section is broken down into four sub-sections:

1. Dwelling
This covers your new home and everything attached to it.

2. Other Structures
This is any kind of detached structure on your property. It can include garages, fences, patios, driveways or anything that isn't attached to your home.

3. Personal Property
This can include everything within your home, whether owned by you or a family member residing with you. The policy can be actual cash value or replacement cost. Actual cash value means the policy will pay what the item is estimated to be worth at the time, regardless of what it costs to get a new one. Replacement cost will pay the amount needed to replace the item, regardless of its actual cash value.

4. Loss-of-Use
This pays for your living expenses should your new home become uninhabitable; if you have a small fire and your home is full of smoke, for example. The policy will pay for a hotel and meals until your home is repaired and able to be lived in again.

Liability Protection
The liability section includes personal liability and medical payments. Personal liability protects you against lawsuits or other liability should someone get hurt on your property. It also covers you if you cause damages anywhere away from your home as a result of your activities. Medical Payments will cover the medical costs of anyone injured on your property, regardless of fault. However, it does not cover any payments to yourself or family members.

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