Posted on 
Friday, February 8,
2013 at 03:37PM
Friday, February 8,
2013 at 03:37PM Can I Own a Home Without Homeowners Insurance?
Unlike driving a car, you can legally own a home without
homeowners insurance. But, if you have bought your home and financed the
purchase with a mortgage, your lender will most likely require you to get
homeowners insurance coverage. That's because lenders need to protect their
investment in your home in case your house burns down or is badly damaged by a
storm, tornado or other disaster. If you live in an area likely to flood, the
bank will also require you to purchase flood insurance. Some financial
institutions may also require earthquake coverage if you live in a region
vulnerable to earthquakes. If you buy a co-op or condominium, your board will
probably require you to buy homeowners insurance.
After your mortgage is paid off, no one will force you to buy homeowners insurance. But it doesn't make sense to cancel your policy and risk losing what you've invested in your home.
After your mortgage is paid off, no one will force you to buy homeowners insurance. But it doesn't make sense to cancel your policy and risk losing what you've invested in your home.
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