This is a REALLY good question! It's always smart to talk about all of the different kinds of insurances associated with the purchase of a home.
There's mortgage insurance, title insurance, flood insurance (sometimes), home warranty (kind of like insurance) and mandatory home hazard insurance.
I assume you're purchasing a single family home and not a townhouse or a condo, is that correct??
If so, you needn't purchase any "special" policy. Just a regular hazard insurance policy is what's needed. I would make a few calls to some local insurance agents to get some different quotes about specific policies and what they cover AND, how much the premium costs. Usually, on an FHA loan, it will be required for you to escrow that money and pay for it in your monthly mortgage payment to the lender.
This is my insurance broker... he also happens to work for my company but I don't get a kickback and I don't get a discount because of his affiliation.
Account Manager Edina Realty insurance
6800 France Ave S, Suite #170
Edina, MN, 55435
Direct Line: 952.928.5602
Main Office Line: 952.928.5600... more