When is it Mandatory to Have Home Insurance In Canada? Purchasing a home is a great achievement. Outside of that, at times a house can suffer destruction from different kinds of damages, it could be fire outbursts, vandalism, and so on. All these result in expenses but having your home insured can cover these costs. But if you may ask when is it mandatory to have home insurance in Canada; the fact is that there is never a time that is mandatory to do that.
The real fact is that in Canada, it is not legally imposed to acquire homeowner insurance. Although, it’s required by banks and mortgage lenders to get your home insured for you to obtain a mortgage. So, what is home insurance? Home insurance which is also called homeowner insurance is a kind of property insurance that provides coverage for any kind of damages to one’s house including the property in the home.
Importance of Home Insurance
Different happenings might get to occur at one’s home unexpectedly. So, you need to prepare for the worst. That is where home insurance comes in as it covers your home of unexpected events like weather damage, theft, or even fire outbreaks. Also, you can have your property covered which is based on the policy attached to the insurance.
The home insurance is so wonderful as it covers the property being stolen from your vehicle. This is usually included in the homeowner’s insurance policy. At times, you might be away, maybe for a vacation or whatsoever. The home insurance still covers your property despite that fact.
Speaking of fire outbreak; you could be in a scenario where there could be a fire outbreak in your home, damaging all that there is at your house then spreading to that of your neighbor’s house. This could be so devastating and at that point in time, you could be so dumbfounded not knowing what to do based on the fact that not only your home is affected but others. Thanks to home insurance, you are well covered in such expenses.
Have you heard of liability coverage? It is a kind of coverage that protects you from losses that could be caused by you injuring someone, damaging someone else’s property. It can be covered by home insurance in Canada. It doesn’t really need to happen at your home, the policy also stretches to that extent. That is why you have to take your time in reading those policies before signing.
What Happens if You Don’t Have Home Insurance?
Home insurance is meant for covering damages to one’s home. So, if you don’t have your home insured, you get to do all the expenses. Moreover, do you know that you are actually responsible for any injury that may occur to anyone on your property? Even a common slip and fall by someone right on your property, you are to take responsibility for such injury leading to hefty hospital charges or legal defense.