Hazard Insurance

Hazard Insurance

A property insurance policy that provides coverage for catastrophic events named in the policy. For example, hazard may cover hurricanes and fires, but not tornadoes. Hazard insurance may not cover even the most common events, especially in high-risk areas. For this reason, some property owners buy named perils policies to supplement hazard insurance.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved

hazard insurance

A form of property insurance that protects against physical damage to property,such as by fire or tornado.

The Complete Real Estate Encyclopedia by Denise L. Evans, JD & O. William Evans, JD. Copyright © 2007 by The McGraw-Hill Companies, Inc.

Hazard Insurance

Insurance purchased by the borrower and required by the lender, to protect the property against loss from fire and other hazards.

Hazard insurance is also known as “homeowner insurance,” and is the second “I” in PITI.

The Mortgage Encyclopedia. Copyright © 2004 by Jack Guttentag. Used with permission of The McGraw-Hill Companies, Inc.
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