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    dmrozek
    Ann Arbor, MI
    Unlike auto insurance Homeowners insurance is not required by any law.  However, that doesn't mean that you're not required to carry it.  I know that sounds contradictory, but there's a significant distinction.  Even though you're not required by law to carry it, you may be required by contract, namely a mortgage, to carry at least a minimum of coverage.  When you purchase a home with a mortgage, the mortgage company will require you to carry coverage that will repair or rebuild your home to certain standards.  The mortgage company is simply protecting the asset you're using as collateral for the loan.  

    If you own your home outright, you not required to insure it at all.  Why someone wouldn't protect their biggest asset is a mystery to me, but it could happen.

    Be smart. find an agent you can trust.  He/she will be able to help you get the coverage you need at a price you can afford.
    Answered on December 6, 2013
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