Since I’m in the Chicago area, I’m concerned only about the people who Google ‘homeowners insurance Chicago,’ but a lot of what I’m going to cover applies no matter where you live in the US.

It’s obvious that this type of home insurance covers home in the Chicago area.  Besides the fact that such insurance takes into account the differences between Chicago area neighborhoods (be they in Chicago proper or in the suburbs), what does it cover exactly?

Homeowners’ insurance covers repairing or rebuilding your house.  It covers repairing or rebuilding other structures on your property, like the garage.

It also covers personal property.

Depending on the type of homeowners insurance and riders you have, you’re fully covered or not.

Types of Homeowners Insurance Chicago

There are two types of “homeowners insurance Chicago:” replacement cost insurance and actual cash value insurance.

Actual cash value insurance will cover anything up to the depreciated value at the time of the claim.  So, if you have a 3 year old computer system that cost you $5,000, you don’t get $5,000 but whatever the depreciated value might be, most likely in the $500 range.

Replacement cost insurance will pay so that you can replace whatever you lost up to the coverage limit.  You should also know that there are two kinds of replacement cost insurance: true replacement cost and functional replacement.

True replacement cost replaces what you lost with an identical item.  Functional replacement replaces what you lost with an item that functions the same (but is not exactly the same, usually it’s cheaper.)

Standard homeowners’ insurance also covers most types of personal injury claims, like someone getting hurt on your property.  There are, though, insurers who don’t include it in their standard homeowners’ insurance policies.  Check.

Homeowners Insurance Chicago Exclusions

And while you check that, also check what your “homeowners insurance Chicago” excludes.  We don’t have tornadoes like they do in Alabama, but we do have floods.  If you’re in a flood zone, get flood insurance.  But know that flood caused by faulty sewage pipes.  You get a rider to cover such damage.  If you have expensive jewelry, art, etc., you’ll need to buy extra insurance.

All that’s covered in a homeowner’s insurance is spelled out in the policy.  All that’s not covered is spelled out too.  You need to know and buy additional insurance for whatever you need beyond the standard.

There’s a long way from Googling ‘homeowners insurance Chicago’ and getting proper coverage for your home and your belongings.  Make sure you understand what you’re getting and review your needs every year.

If you’re Googling ‘homeowners insurance Chicago’ or some other such term and would like in depth information call me at 847-675-7714.

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