Unless you can afford to rebuild your home, replace your belongings, or cover the expenses of a lawsuit, home insurance can help you recover after a catastrophe. It helps ensure your long-term financial security.
For example, if your home burns down in a fire, the cost of rebuilding and replacing your possessions could cost hundreds of thousands of dollars – or even more! Home insurance lessens the financial burden by helping you cover additional living costs, rebuilding or repairing your home, and replacing damaged belongings.
Another example is a lawsuit. Your home insurance can help cover legal expenses if someone is injured on your property and decides to sue. Let’s say someone was in your home and tripped going down the stairs. They end up breaking an ankle and decide to sue you. Your home insurance could help cover your defence costs, as well as settlements and awards.