Indiana’s weather is generally mild, but as recently as 2011, the state was ranked eighth on the National Weather Service’s list of top 20 tornado-prone states. Whether or not you live in an area of the country that experiences extreme weather, it’s a good idea to have a home insurance policy that protects your home and belongings against the elements and other unforeseen disasters.
How Much Does Indiana Home Insurance Cost?
According to the Insurance Information Institute, in 2010, the average annual premium for homeowners insurance in Indiana was $748. Insurance companies offering home owners insurance policies consider a number of factors when it comes to determining the total cost of premiums, including the age, location, and construction materials of a home. Even amenities like pools and hot tubs can raise premiums due to the fact that these features increase the potential of bodily harm to others. The amount of coverage you select for your personal property insurance, along with the amount of liability insurance you choose will increase your premium, as well as the deductible amount.
The Indiana Department of Insurance recommends you insure your home for at least 80 percent of its replacement value, which assures that your insurance company will pay losses in full, minus any deductible, up to the face amount of your policy. An agent can help you determine the replacement value of your home.
What Does It Cover?
A homeowner’s insurance policy will covers any damages done to the structure of your home as well as the contents within, including furniture, appliances, rugs, clothing, and personal belongings. Home insurance can also help pay for living quarters if your home requires repairs following catastrophic damage. Most policies include only limited coverage for certain valuables like money, gold, jewelry, and certain collectibles, so you may need to schedule your most expensive belongings for additional coverage or purchase an endorsement for them. Liability coverage is generally a part of most homeowners and renters policy and protects you against bodily injury and property damage claims arising from accidents to others on property that you either own or rent. It also protects you from accidental damage you may cause to the person or property of others while away from your property and includes the cost of defending a claim against you.
Do I Have to Get Home Insurance in Indiana?
Home insurance is not required by law in Indiana. But buying insurance can help protect your house and property against damage from unforeseen circumstances, and liability for accidents that injure other people or damage their property.
Optional Coverage to Consider
- Flood. According to the Indiana DOI, flooding is not covered under most homeowner’s policies. While you are usually not required to purchase flood insurance unless you live within a flood plain, it can still be a good idea to purchase one, since no home is truly safe from the threat of flooding. You can learn more about the risk of flood in your area through the Indiana Department of Natural Resource’s flood plain website.
- Fire and Lightning. Most homeowners policies in Indiana place fire and lightning protection under basic coverage, but you should ensure you understand the details of your policy to make sure you will be covered in the event of a fire in your home. Your policy should cover the cost of damages to your home or valuables caused specifically by fire or lightning. Tell your insurance company if your home has smoke detectors, fire extinguishers, or sprinkler systems since there may be discounts available for having these installed in your home.
- Windstorm. While Indiana is not located directly in Tornado Alley, the National Oceanic and Atmospheric Administration reports that the state is hit by 22 tornadoes a year on average. Most insurance policies typically cover any damage associated high winds or hail under basic coverage, including living expenses should you be displaced. However, certain companies may require the purchase of a separate policy that specifically covers tornado damage.
- Hazard. Hazard insurance is an important part of any home insurance policy. While it may differ from company to company, most basic policies in Indiana will cover your home and personal property should it be damaged by perils like vandalism, smoke, or fire. Some policies will name the specific items that are covered, while others will name only the types of hazards that are not covered.
- Scheduled Specified Personal Belongings. If you have a significant amount of personal or valuable items that are not adequately covered by the standard amounts within your Indiana homeowners policy, you can request to schedule these items. This means that items such as cameras, art, certain clothing, jewelry, musical instruments, golf equipment, or even some collectibles such as stamps or coins can be insured at their full value following a professional appraisal.
Mobile Home Insurance in Indiana
Mobile or manufactured home insurance policies in Indiana are very similar to traditional home insurance policies. Most will cover the actual structure of your mobile home, your personal belongings inside, and certain items on the property, like sheds and any tools inside. Mobile home policies will also typically include personal liability protection, family liability protection, and guest medical protection. They also usually include any costs for additional living expenses should you need to seek other living arrangements while repairs are made.