The standard home insurance package covers not only damage to your property, but also any injuries or accidental damage that might happen to other people on your property. This means if a neighbor falls down the stairs and tries to sue your family for having a dangerous home, your insurance company will absorb the court costs and most of the damages.

There are many exceptions and qualifications in your standard home insurance policy, but here are the things you should expect see:

Coverage for the structure of your home.

Any standard home insurance policy should protect the costs of repairs or rebuilding if your house is damaged or destroyed. The common natural disasters which are included are fire, wind (hurricane/tornado), hail, and lightening. You need to check in your policy to see what is included, and include additional clauses or policies to cover what isn't listed if you are in a high-risk area. For example, those living in a flood plain should buy a separate flood-insurance policy. Those in California might want to think about earthquake insurance. It should be noted that home "repairs" do not include normal wear and tear from age and use.

Personal Belongings Coverage

While some of our personal belongings are priceless, others can be easily replaced. Furniture, clothing, electronics—these are all objects covered under basic homeowners insurance policies. The average rate of personal belongings compensation is 50-70% of the value of the house. Thus, a house where the structure is insured for $100,000 will provide an additional $50,000-$70,000 on your personal belongings. So if your home gets burgled, your insurance company will pay you up to $70,000 to replace all the lost furniture, with no more than $2,000 for any individual item stolen.

While this may seem like more than enough money, you will need to compile an inventory of your belongings in order to see if it's enough. The policy becomes tricky in cases of rare books, paintings, or antiques. You will need to have an independent appraiser see how much these items are worth, and you may need to have them separately insured.

Liability protection

Most policies include a certain amount of liability to protection, which helps you in the event that you are sued for an accident which took place on the premises of your home or as the result of your family's actions. So if your son fell asleep and ran into your neighbor's home, you're covered. If you're dog destroyed your neighbor's new chair, you're covered. But if your own dog destroys your own chair, you have to pay for it yourself. The amount of each policy's liability protection is different, but most policies start at $100,000.

Some things to consider:

-Always purchase enough coverage to afford to rebuild your entire home in the event of total destruction, or to afford a hotel while you're awaiting repairs.

-Most standard policies cover structures detached from your home, but still part of the property. Gazebos, garages, or tool sheds are about covered for about 10% the cost of your home. Meaning if your home is insured for $100,000, the tool shed is insured for $10,000. If you have a guesthouse which is worth more than 10% of the value of your house, you will need to purchase additional insurance.

-Flood, earthquakes, and mudslides are not in your standard insurance policy. Purchase these policies separately if you live in a high-risk area.

-Trees, plants and shrubs are also covered for 5% of the home insurance.