Have you recently bought a home and purchased home owner’s insurance? Maybe you own a home and you have yet to purchase insurance for it. Either way, it is important that you are well-informed about the ins and outs of home insurance. The following article is going to give you some of that knowledge.
Buying insurance for your home shouldn’t be an “if”, it should be a “when”. Without it, you have no recourse if there is fire, natural disaster or burglary. If you still have mortgage to pay, homeowner’s insurance is probably not an option, but actually required by the loan.
Frames Cost
To save money on your homeowner’s insurance consider the costs of construction projects before you begin building. Structures with wooden frames cost more to insure because they have more risk of burning, while structures with steel frames cost less because they are sturdier and hold up under adverse weather or other conditions.
Take a look at your insurance needs whenever your number of valuable items increase. You should always make sure that your insurance coverage doesn’t have payout limits on any valuables you own. Individual riders can be requested regarding certain specific items.
If you are building an addition to your home or considering a major renovation, check what effect this will have on your homeowner’s insurance rates. Wood-framed structures are considered to be a fire risk, for example, and will raise your insurance rates. Using cement, steel, or other fireproof materials will mean your addition costs less to insure.
If you have expensive landscaping around your home, consider purchasing separate insurance for it. Most basic homeowners insurance policies will not cover damage from wind or other environmental factors to landscaping. This means that if your expensive imported trees come down in the wind, your homeowners insurance policy will generally not cover it.
Smart security systems and standard smoke alarms will reduce your usual premium requirements. The cost of installing a security system is low, and your home will be protected while you at home or away.
Before installing a pool or buying a trampoline, be sure to check with your insurance company to see what effect this will have on your premiums. Some companies will charge as much as 10% more to insure a house with a pool, trampoline or other potentially hazardous equipment on the property.
Flood Insurance
If someone is not even supposed to be there, you are still responsible if they get hurt. Even uninvited individuals, such as those selling products from door-to-door, could try to sue you if they’re injured on your property. Therefore, you should ensure that you have the coverage necessary to protect yourself.
You may think you don’t live close enough to a body of water to have to worry about flood insurance…but think again. Before you decide you don’t need it, assess the flood risk for your geographical area. You will be surprised at the unexpected parts of the country which have experienced floods in the past year or two, and if you live in or near on of these areas, flood insurance may be right for you. FEMA.gov is one site that provides information on flood risks for all parts of the U.S.
You can save a lot on premiums for home owner’s insurance. Renovations to the home could alter your insurance premiums so ensure you are fully aware of the facts before you decide on your renovation materials.
A monitored alarm system should be installed in the home if there is not one in place already. Not only do you gain peace of mind knowing that your property is well protected, but you may also receive an insurance policy premium reduction as well. Obtain proof of the properly monitored system and demonstrate this proof to the home owner’s insurance agency.
When looking for a homeowners insurance policy, check with the agent who insures your vehicles. A lot of agents will give you a discount if you have more than one policy with them. It is possible to get a discount of 10% or more by insuring more than one thing with the same agent.
If you live in a flood-prone area, never assume that you can rely solely on federal disaster assistance rather than purchasing flood insurance coverage. In the first place, a large percentage of all flooding incidents never qualify for federal disaster relief. Secondly, you may pay more in interest for a federal disaster loan than you would pay for flood insurance.
Your overall premium can be held at a lower number by keeping various policies under the same company. Many insurance companies provide discounts to those with multiple insurance policies. As an example, protecting the home and the car under the same company will mean huge savings on both expenses.
In conclusion, whether you are an insured home owner or if you have yet to get home insurance, it is wise to be well informed on the subject. Use the information given to you in the above article to make sure you have the best home owner’s insurance possible.