Homeowners insurance is a type of property insurance that provides financial protection for a person's home and belongings against damage, theft, or loss. It typically covers:

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1. Dwelling Coverage: Protects the structure of the home (e.g., walls, roof, floors) from damage caused by events such as fire, storms, or vandalism.

2. Personal Property Coverage: Covers personal belongings inside the home (e.g., furniture, clothing, electronics) against loss or damage due to theft, fire, or other covered events.

3. Liability Protection: Offers financial protection if someone is injured on the homeowner's property and the homeowner is found legally responsible. It also covers legal fees in case of a lawsuit.

4. Loss of Use Coverage: Pays for living expenses if the home becomes uninhabitable due to a covered event, such as a fire or storm.

5. Medical Payments Coverage: Covers medical expenses for guests who are injured on the homeowner’s property, regardless of fault.

Homeowners insurance can also include additional optional coverage, such as protection for valuable items (like jewelry) or flood insurance, which might not be included in a standard policy. The policy provides peace of mind by helping homeowners recover financially from unexpected losses and damages.