Q: Can I own a home without homeowners insurance?

A: Unlike auto insurance, home insurance is not required unless you have a mortgage and owe money on your home.

Home insurance is never required by law; however, the financial institution that holds your mortgage will most likely require your home to be insured for at least the amount of your loan. Lenders require home insurance to protect their investment in case of a disaster that destroys or damages your home. While home insurance may not be required by a lender, it is recommended that every home owner insure their home and belongings to protect against a loss. Learn more about how much insurance you need.

The same holds true for flood and earthquake insurance. If you live in a flood zone or an area that is subject to a high number of earth quakes, your lender may require you to hold earthquake or flood insurance.

If you own a condo, apartment or townhome, the homeowners' board may require you to purchase a special policy to cover the common, shared areas of the building. Learn more about co-op insurance.

Have other questions about home insurance or how to get started? Visit our FAQ page to see questions that have been posted by our customers. Or- post a question that you would like to see answered! Want to speak with one of our licensed agents? Enter your phone number here and one of our agents will call you. Or call an agent directly at 1-877-50-MyHome.

Last Updated: April 16, 2008 10:15 AM EST

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