Explore the advantages of having home insurance. Consider these factors when you are preparing to purchase a house or residence. Keep reading for more!
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As awareness of the potential for a megathrust earthquake in Indonesia grows, many homeowners are considering preventive measures that can be taken in an emergency, including home insurance. Having home insurance is not just about being cautious but also about protecting valuable assets from risks that can occur at any time.
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Why is it important to have home insurance?
Most people may believe the likelihood of experiencing risks like fire, flood, or theft in their homes is very low. However, these events can occur unexpectedly. Here are some reasons why home insurance is essential:
1. The standard insurance offers limited protection
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Many people only have standard fire insurance, which only protects the building structure, or insurance that covers the head of the family in case of sudden death, waiving house installments. In reality, it is still rare for homeowners to insure personal items in the house, which are likely to be victims of an earthquake that can occur at any time. Standard insurance won't cover you if your valuables are damaged.
2. High repair costs
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Disasters like fires or floods often result in additional expenses, such as leaking pipes or damaged electrical equipment. The cost of repairing these damages can be extremely high, and without sufficient insurance coverage, homeowners are left to handle these costs on their own.
3. Damage caused by other units in the apartment
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For apartment dwellers, damage from fires or floods can occur due to other units. Even if it's not the fault of the apartment owner, this damage will still affect the apartment and the belongings inside.
Choosing home insurance can be tricky with so many options available, but understanding what you need and can afford will help you make a more informed decision.
For homeowners, the ideal home insurance will protect the building and provide personal liability benefits in the event of an accident. Some insurance will also cover temporary accommodation costs if the home is uninhabitable due to damage.
For owners of rental properties, insurance for the structure of the building may be sufficient. However, insurance should also include protection if the property already contains furniture.
For renters, property owner insurance alone is not enough to protect the items owned. Renters are responsible for loss or damage to personal belongings or injuries that may occur during the rental period.
With the threat of a Megathrust earthquake becoming increasingly accurate, home insurance can no longer be considered an additional option but a necessity to protect valuable investments and a shared future.
