A home is typically your biggest investment so it’s important to have it properly insured. Unfortunately, many people don’t know what their policies do and don’t cover. Have a look at Miller Hanover Insurance. It’s important to understand that there are 4 primary components to homeowners’ insurance and to understand what those components are.The first component is the structure itself, the building including the garage and deck as well as unattached structures such as a shed. When you buy the home you typically have the home insured for the amount you paid for it, or you have it insured for the rebuild value. This implies that the policy will provide reimbursement up to the policy limit to replace the structure if your home is a total loss. You want to have your home insured for enough that you can totally rebuild it, this is the replacement value.A problem that many homeowners face is that they are underinsured and don’t have enough insurance to cover repairs to their home, or replacement of the home, if they face significant damage. An accurate assessment of your home should be completed so that it is possible to determine an accurate replacement price. It will be possible for your insurance company to help you determine this amount.The next component is for personal property. For about 60-70 percent of what you insure the house for, most companies insure the personal property in the home. For example, if a home is insured for $200,000 then the personal property is typically insured for about $140,000-$150,000. The personal property insurance can be raised if the belongings in the house are worth more. This could, however, be at an additional cost. There is no charge for keeping it proportional to the insurance on the structure but when you raise the personal property insurance there will be a small fee.Typically, personal property insurance covers such things as furniture, clothing, toys, and home accessories such as home decor.