Home Insurance 101

When it comes to home insurance not all policies were created equal. So how do you know if you’re getting the right home insurance? There are a lot of things to consider when it comes to home insurance. So here’s a list of some things that you should know in the future when you’re looking to move!

What it Covers
It’s important to know what your homeowners insurance covers. Most people assume that everything is covered once they have insurance, but this is not the case. It’s important to know this before any damage has occurred so you aren’t surprised. So when deciding what needs to be covered, think about the value of you house and your belongings as well as the cost of living.

How Do I Know If I Have Enough Coverage?
A good way to know if you have enough coverage is to get an appraisal. This will help you determine the replacement cost of your home. It is suggested the best way to insure your house is to opt for a guaranteed, or replacement, value coverage. This option usually costs a little more, but in most cases it will cover 100 percent of replacement costs.

How Much Does it Cost?
The cost of homeowners insurance varies for every property. Depending on the condition and location of your home, as well as your credit score, the cost of homeowners insurance will be determined.

How Can I Save?
The best way to save on your rates is to bundle your home and auto insurance together with the same insurance company. The amount you save will be different depending on the insurance company, so do your research before making your final decision!

Can It Be Canceled?
Your homeowners insurance can drop you and or cancel at any time. Being dropped is different from being canceled. When being dropped your policy is not renewed after its expiration date and you must look for another provider. When your homeowners insurance is canceled it is most likely due to specific circumstances. From non-payments to an increase of risk, there are a number of reasons it could get canceled. In the event of a cancellation you’ll receive a 10-30 day notice to start looking for another provider.

Keep In Mind, You Aren’t Covered for Everything
As stated above, most people think they are covered for everything when they get homeowners insurance, but they’re not. If someone were to get hurt on your property there is the possibility of being sued. So, get an umbrella liability insurance as well as homeowners insurance and you’ll be covered for a certain amount depending on your provider.