What Type of Home Owners Insurance is Best for You?

For home owners in Katy Texas, having a number of home owners insurance choices is an excellent problem to have, and this is the case with homeowner’s insurance. When you are selecting your Katy insurance homeowners policy, you will have seven options to choose from that will contain only the coverage that you need. Katy home owners insurance are policies that can be tailored by you and your insurance agent so that you can purchase the right coverage at a price that you can afford.

The Basic Policy

The most basic option is called “HO-1.” In the event that your home and belongings are damaged by fire, hail, lightning, volcanic eruptions, wind storms, riots, aircraft, vehicles, smoke, vandalism or theft, the insurance company will pay to repair or replace the home and its contents.

One exception is if your own vehicle damages your house. This policy will not pay for the damages done to your home or to your car. You may need to consult your insurance agent to learn if your Katy car insurance policy will cover the damages to your home. This home insurance plan also does not contain liability coverage.

The Broad Coverage Policy

The next plan is known as “HO-2,” and it includes everything in the HO-1 policy along with six additional items. It also extends coverage to outside structures, such as a detached garage or a barn. With this plan, the added coverage includes damage caused by the following:

  • Falling objects
  • Snow, sleet or ice
  • Water damage due to a plumbing system flood
  • Water damage due to a bursting heater, air conditioner, water heater or fire sprinkler
  • Frozen plumbing
  • Power surges
  • This plan also includes liability insurance

The Special Form Policy

The special form policy is called the “HO-3” policy. With this plan, you will customize your policy with your Katy insurance agent so that you are covered for everything except the perils that you do not wish to list in your plan. Your house and detached structures are covered with the HO-3 policy, and it contains liability coverage.

Renter’s Insurance

HO-4 is the tenant homeowner’s insurance policy, and it is designed specifically for renters. Renters receive liability insurance and coverage that protects their belongings under this plan. Some policies offer a sum of money for living expenses if the renter is displaced after the building has been damaged.

Premiere Homeowner’s Insurance

The premiere homeowner’s insurance policy (HO-5) covers your home and its contents against damage that has been caused by any peril. The policy only lists exclusions, and they typically include war, nuclear hazard, neglect, wear and tear and vandalism if the house has been abandoned for longer than two months.

Condominium Insurance

HO-6 is a policy just for condominium owners. These policies exclude the common areas on the property, but they include liability for the insured and coverage for the insured’s belongings. The unit and the contents within are covered against 16 named perils.

  • Wind Storm or Hail
  • Explosions
  • Aircraft
  • Vehicles
  • Smoke
  • Fire or Lightning
  • Theft
  • Volcanic Eruption
  • Falling Objects
  • Riot or Civil Commotion
  • Malicious Mischief or Vandalism
  • Accidental Discharge or Overflow of Water or Stream
  • Sudden & Accidental Damage from Artificially Generated Electric Current
  • Weight of Ice, Snow, or Sleet
  • Sudden & Accidental Tearing Apart, Burning, Cracking, or Bulging
  • Freezing

Insurance for Older Homes

If a home is older, it is likely to cost more to rebuild than the structure is currently worth. These homes can be insured with the older home insurance policy that is known as “HO-8.” With this policy, your house will be repaired or rebuilt if it is damaged by one of the listed 10 perils. However, the insurance company will pay to have the house repaired with modern materials rather than the materials that were used at the time that the house was built.

  • Wind storm or Hail
  • Fire or Lightning
  • Explosions
  • Civil Commotion or Riot
  • Aircraft
  • Vehicles (unless damage caused by the insured)
  • Smoke
  • Malicious Mischief or Vandalism
  • Theft (limit of liability is usually $1,000)
  • Volcanic Eruption

When discussing your homeowner’s insurance policy with your Katy insurance agent, keep in mind that damage from floods are generally excluded from the homeowners’ policies listed above. However, you can add an endorsement that includes this type of coverage. It will cost you more money, but you may be very glad you purchased it in the end.


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