A home is usually anyone’s biggest investment, getting the insurance coverage is very important to make sure you get the most out of that investment. What if something happens to your home like a fire, flooding, or gets vandalized? Even a person could slip and fall in your home and then sue you. Anything like that can put your investment in big trouble. That is why having the right home insurance is so very important, but you need to understand there are tons of different products available and it can get very confusing and expensive. This report will explain the main things that are important to look out for, but your best resource is our experts who have years of experience and will make sure you get the best coverage for your budget.
Home Insurance covers the home itself and your personal property. With the structural coverage it’s broken down between replacement cost and actual cash value. Replacement cost coverage, will cover the cost of all damage to your property up to a maximum set amount. With actual cash value coverage the insurance will cover the cost of replacing the damaged property minus an allowance for depreciation.
It is important to pay close attention to exactly what will be covered in your home owner insurance policy. For example certain natural disasters like an earthquake are not commonly covered, so it is important to have our experts to customize a insurance plan that works for you. Each home is different and something that might be important to someone else might not be needed in your situation. There is no need to pay for coverage that is not relevant to you, or have coverage you need that is missing from your policy.
Generally getting a policy that covers the cost of rebuilding your home if it were totally destroyed is the most common amount home owner coverage. Our experts can help you figure out that amount, so no matter what can happen to your home it will be cover.
With your possessions things get a bit different. Each policy has limits of what they cover and how much of a certain item they’ll cover. For example the average policy has $1,000 limit on jewelry if it is lost or stolen, but if you own more jewelry it would be a good idea to increase that amount. It is a good idea to take a full inventory of your possessions and get as much details about them (pictures, serial numbers, receipts, etc) so if something were to happen to them, you have the proof to get compensated appropriately.
Here are some simple tips that have can help you save money on your home owners insurance:
- Bundle your policies – If you have other insurance services like auto insurance, when you bundle them you always pay less not just for your home owner insurance, but all your insurance policies.
- Raise your deductible – It is always a good idea to have the highest deductible you could possibly pay. Like with any insurance service the higher the deductible the lower the monthly payments. Home owner insurance is no different.
- Insure your home, not the land – Land can not be stolen, or destroyed by disasters, it will still be there. There is no reason to have it covered you are just paying for something you don’t need.
- Don’t insure things you don’t need to – Home insurance covers tons of things, so it is important to review your policy to make sure there are things covered that you don’t have or are not important to you.
- Home Protection – Safety measures such as, smoke detectors, burglar alarms, deadbolt could all get you discounts. You could save even more if you add sophisticated sprinkler systems or an alarm system automatically connects to the police station or a security company.
- Stay with your company – Most insurance companies reward you for your loyalty by discounting your rate for each year you stay with them. If you’ve been with an insurer for a while and you like that insurer, stay put.
Everyone wants to say money, but it is also important to ask yourself is my coverage adequate? Having disaster strike will always be more expensive then little money you could save by being under covered. Contact our experts today with any questions about your home insurance. We will tailor a plan that will give you a program that covers all that you need, and that lowest possible price.
Author: Peter Barankiewicz