If you have neighbors, there is always a danger that an accident on their property could cause damage to yours. One of the most common of these shared dangers is a fire. Are you covered by insurance if your neighbor's house or property fire damages your house? Here's what every homeowner should know.

Will Your Insurance Cover Your Home? 

No matter how well-maintained your home is or how many protective measures you have on your property, you should always carry sufficient homeowners coverage.

This is because your first line of defense, no matter where the fire came from or why is your own homeowners insurance. They will generally pay compensation for a claim even if it started elsewhere. 

What If the Neighbor Was Negligent?

Many fires start due to an accident or uncontrollable events like lightning or a driver throwing out a lit cigarette. But what if your neighbor's negligence or intentional acts caused the fire? Perhaps they threw out that cigarette and sparked a fire, for example. 

The fire department will generally investigate the source of the fire, as may your homeowners insurance carrier. If the fire was the fault of your neighbor, your own insurance company may seek reimbursement from the neighbor's insurer for what you paid for the claim. Known as subrogation, this may not involve you at all. 

What if You Don't Have Home Insurance?

Hopefully, you had good homeowners insurance at the time of the fire. But what if you didn't? In this case, your compensation would likely depend on the cause of the fire. The neighbor's insurance would usually pay for damages to your home if the neighbor is at fault for the fire. If it was out of their control, though, you may not be compensated. 

What If Some Damage Isn't Covered?

Finally, you could incur some expenses that aren't covered by your own homeowners policy.

For instance, you may have to pay a deductible to your insurance company. If the neighbor was liable for the fire, you may be able to seek reimbursement from their insurer for the non-covered costs you paid. Depending on the expenses, you may even choose to pursue legal damages from the carrier or the neighbor. 

Where Should You Start?

Whether you've already been affected by a neighbor's fire or you are concerned that it could happen, start by learning more about how your insurance policy protects you. Meet with a homeowners insurance agent in your state today.