Understanding Homeowners Insurance: What’s Covered and What’s Not
Your home is likely your largest financial asset. Yet, many people view their insurance policy as a “set it and forget it” document. In 2026, with construction costs and labor rates at an all-time high, understanding the boundaries of your coverage is the difference between a minor setback and a financial disaster.
At Glick Insurance Agency, we believe in transparency. Here is a clear breakdown of what a standard homeowners policy (HO-3) typically covers, and more importantly, where it stops.
The “Core Four”: What Is Typically Covered
Most standard policies are divided into four main areas of protection:
- 1. The Dwelling (Your House): This covers the structure itself (walls, roof, and floors) against “perils” like fire, wind, hail, and lightning.
- 2026 Reality Check: We ensure your dwelling limit reflects today’s rebuild costs, not what you paid for the house five years ago.
- 2. Other Structures: This covers unattached buildings on your property, like a detached garage, shed, or fence.
- 3. Personal Property: This covers your “stuff” (furniture, clothes, electronics, and appliances.)
- 4. Personal Liability: This is your financial shield. If someone is injured on your property and sues you, this pays for legal fees and settlements.
The “Danger Zone”: What Is Typically NOT Covered
This is where the most common misunderstandings happen. A standard policy does not cover everything. Common exclusions include:
- Water Backup: Most policies exclude damage from a backed-up sewer or a failed sump pump unless you add a specific “endorsement.”
- Service Line Failure: Standard policies don’t cover the pipes (water, gas, sewer) running from the street to your house. If they collapse due to age, the $15,000 repair is on you, unless you’re covered.
- Wear and Tear: Insurance is for sudden and accidental events. It is not a maintenance plan. If your 30-year-old roof leaks because it’s simply old, insurance typically won’t pay for a new one.
- Floods: Damage from rising surface water (floods) requires separate, specialized policies.
The Glick Advantage: Customizing Your Shield
Because we are an independent agency, we don’t just hand you a cookie-cutter policy. We represent over 20 top carriers, allowing us to:
- Identify the Gaps: We look for the hidden exclusions in your current plan.
- Shop for Value: We find the carrier that offers the best protection for your specific neighborhood and home type.
Is Your Policy Built for 2026?
Don’t wait for a claim to find out you’re missing a key endorsement. Let’s do a quick, professional review of your current coverage. Call Glick Insurance Agency today to make sure your home is truly protected!
