Final answer:
Homeowner's insurance refers to coverage for your residence and its financial risks. It provides protection against damages or losses to your home and its contents, as well as liability coverage for accidents that may occur on your property.
Step-by-step explanation:
Homeowner's insurance refers to coverage for your residence and its financial risks. It provides protection against damages or losses to your home and its contents, as well as liability coverage for accidents that may occur on your property.
For example, if your house suffers damage due to a fire or if your belongings are stolen, homeowner's insurance can help cover the cost of repairs or replacement. Additionally, it can provide coverage for medical expenses if someone gets injured on your property and you are found liable.
This type of insurance does not typically cover loss of income from disability or premature death that occurs at home, coverage of all risks related to your residence and apartments that you rent, or coverage for all risks that you take as long as you own a home.