Homeowners insurance, or mostly known as HOI, is a form of property insurance that covers losses and damages to an individual’s house and to assets inside of the home. HOI typically cover damage caused by perils including fire, hail, lightning, windstorm, theft, and vandalism. A few factors affect your insurance premium:
• Home features and characteristics
• Protective devices for your home
• Personal factors
• Claims history
It may not be required if you are buying a home or own one, but if you finance your home with a mortgage, your lender may require to you to have HOI to protect your home in case of damage, or if you live in an area prone to things like flooding and earthquakes for example.