With the tragedy of the San Bruno fire in Northern California, I started to wonder, what are people to do if they suddenly find themselves without a home? I'm kind of embarrassed that I don't automatically have an answer for that, considering the topics we cover.

I hope everyone will forgive me. I don't pretend to be an expert in insurance, but I did my homework.

People familiar with my writing, probably know that I had a childhood that was cynically full of disaster. I've seen a fire at home, floods, hurricanes, tornadoes…but still nothing that completely destroyed the family home. We'd often be very uncomfortable, but never so bad off that we couldn't stay there after a disaster.

Many people aren't that lucky. Homeowners insurance (and renters insurance)is a wonderful thing. Most policies cover more than I thought. Policies may be a bit different from each other, but for the most part, almost all of them cover living expenses for 18 to 24 months if you lose your home.

How much homeowners insurance do you need? The short answer is that you need to cover the expense of rebuilding your house at the present day construction cost. The price shouldn't include the cost of your land or the price you paid for your home. That overall price could be more or less than the price you paid for your home.

Choosing an insurance company is not like picking a topping for your pizza. You have a multitude of options, and many opportunities to be ripped off or denied the peace of mind you are seeking. These points are provided by the Insurance Information Institute (www.iii.org), a great organization that exists for only one purpose: to increase public knowledge of insurance.

Most homeowners policies cover things like jewelry, watches and fur coats, but there is a limit to liability (how much the company will pay). So yes, you don't need to own the Hope Diamond or a collection of Faberge eggs to consider a special policy.

A study by the Federal Trade Commission (FTC) discovered that 8.3 million Americans in 2005 were victims of identity theft. That number is on the rise as criminals are becoming more sophisticated. In more than half the incidents, cyber-criminals only managed to defraud or steal $500 or less in goods or services before they were discovered and shut down, but in a tenth of cases, they made off with $6,000 or more. 

What's scarier? Fifty-six percent of all accounted victims claimed not to know HOW their personal information was taken. ID thieves impersonate the victim, stealing from bank accounts outright, creating sham insurance policies, opening credit cards (and maxing them) and getting bank loans in the victim's name.

Is there a way to repair my credit history?

The best way to improve your credit score is to pay off your debt. Consolidation can help, but applying for new credit and opening a new account and make things worse! Read our advice to keep your credit healthy.