Home owners and property owners buy insurance for lots of different reasons. Liability protection is a great reason to have insurance. But what first comes to mind when thinking about property insurance is coverage in the event of damage to one’s property.
What happens if a fire burns down your home/building and all of the contents therein?
What happens if a pipe bursts and ruins the home/building and everything inside of it?
What happens if the roof starts to leak and damage the ceilings, walls and flooring?
Who is going to pay for the property damage?
What happens if the rental arrears on the unit are lost on account of the damage?
If you don’t carry property insurance, you will have to pay for these repair and replacement costs of the damaged goods/equipment on your own.
But the majority of property owners carry some form of insurance. It’s a requirement under pretty much every mortgage. You can certainly own a property mortgage free and not carry any form of insurance on the property, but that’s living quite dangerously to say the least and not recommended by this personal injury lawyer; or any insurance broker.