A home insurance quote is based on several factors and your premium may be different depending on the coverages you get and the company that insures you. Here is some basic information to consider when shopping for home owner insurance.

 

* The actual home

* Personal possessions

* Liability

* Living expenses if the home is uninhabitable due to a loss

Your home -- At the least, you need enough coverage to pay for the costs to rebuild your home. Base this amount on current construction costs, not the price you paid for your home. An insurance agent can help you evaluate that cost or you can contact your local real estate agent or builders association and find out what the current cost-per-square foot is for a similar home.

Your possessions -- The typical home owner policy also provides coverage for your personal belongings -- furniture, computer, clothing, etc. -- up to a certain percentage of the protection on your home. Try to estimate how much it would cost you to replace your possessions and then decide if this percentage will be enough. You can always increase the limits of coverage, or insure expensive items with a special endorsement.

Liability -- Your home owner policy also covers liability to others if you are sued for bodily injury or property damage that you, a family member or a pet caused. Find out what the standard coverage is in your policy. You may want to increase that coverage if you feel you may be vulnerable to lawsuits.

Living expenses -- If your home is damaged so badly that you can't live in it, most home owner insurance policies provide coverage for temporary living expenses while your home is being repaired. This coverage varies from company to company.

Be sure to ask your agent about your coverages and fully understand the policy before purchasing. And when you're shopping for home insurance, make sure to get at least three comparison quotes since rates can vary quite a bit from company to company.