What is Home Insurance?

• Insurance is a contract called a policy between a person and their insurance provider.
  • The insurer pays a fee called a premium – their premiums are pooled with other policyholders at the insurance company. The money collected in the pool is used to pay claims.

Many insurance policies need a deductible, a portion of a claim that you pay upfront, before your insurer pays the rest. If you pay a higher deductible, your premiums may be lower.