Home owner’s insurance isn’t a luxury, it’s a necessity. It may even be required if you have a mortgage on your home. In the case of a disaster, your home owner’s insurance might be the only thing that gets you back on your feet. Here are some tips that can help you in selecting a home owner’s insurance policy that suits your needs.
A recent inventory of your home will help your claim be processed much faster. Anyone that has experienced loss can tell you that it’s difficult to remember all that you had at that time. It’s best to have pictures of everything, including inside closets.
Check the status of your homeowner’s insurance premiums at least once a year, to see if you may qualify for a lower rate. Your current rate may be based on an old crime statistic, for example, or you may have installed a security system that could lower your rates. Discuss these changes with your insurance agent.
When you move homes, be sure that your belongings are insured for the move. This may mean buying insurance from the moving company. Your homeowner’s insurance policy may also cover items that are damaged, lost, or stolen in transit. Check with your insurance agent about a “special perils endorsement”, which will protect valuables during a move.
Look for ways to save on your policy. If you want to add to your home, you might want to go with steel instead of other cheaper materials.
To save money on your homeowners insurance talk to your agent and see if the company provides discounts for installing additional smoke detectors. Many older homes lack them in areas that are considered standard places to install today and many insurance companies will provide a discount as an incentive for you to add more.
Make sure that you regularly make an updated list of the contents within your home in case you ever need to make a full replacement claim. Suffering through a major disaster can be overcome without losing everything, but only if you remain diligent and update the insurance agency frequently. Photos or video are the best way to get a full inventory.
You can lower your insurance premiums by installing tracking devices and security systems. Insurers are interested in making safe investments, and if you keep things safe, they will have more confidence. Tell your company, the minute you install these safety features and they may lower your premiums immediately.
Get a good burglar alarm to reduce your homeowners insurance premiums. Statistics show that homes with security systems experience fewer break-ins. Also, this will make your house look less risky to insurance companies. Give your insurance company proof that your home is safe and secure.
To protect your personal property in a rented residence, you need renter’s insurance. The landlord or property owner will have insurance to cover losses on the building, but not on the items inside your unit. This is your responsibility. Fortunately, renter’s insurance is quite affordable, and available from most insurance companies and independent agents.
Try to pay off your mortgage prior to getting home insurance. Your insurance company will offer substantial savings. This is because insurers believe those who own a home outright are likely to take great care of their investment, making for lower risk.
Flood Insurance
If you live in an area that has been found to be at a higher risk for floods, flood insurance is a must. However, it is a good idea for everyone to have flood insurance. Almost 25% of flood claims are in areas that don’t carry flood risk. It is possible to secure great discounts on flood coverage if your home is in a low-risk area.
A centrally-monitored security system is a great addition to your home. You’ll be safe and your insurance premiums may drop by as much as five percent. Contact your insurance company for more information on how to obtain this discount.
If your home is damaged in a fire or other disaster, you’ll need a place to stay until it is repaired. Find out if your homeowner’s insurance covers hotel stays or other lodging. Read your policy carefully to determine if you’re covered, and find how much you’d have to spend to get this coverage if you aren’t.
Install and thoroughly maintain a security system in your home to get a discount on your homeowner’s insurance. Not only do the insurance companies see you as less risk and drop your premiums, but would-be crooks will see your system as a deterrent and choose to find someone else to rob.
Install smoke detectors in your home. Detectors are usually preinstalled in newer homes. If your home is not equipped, make sure you install a detector in each of the rooms. Not only do they provide the safety that is essential for you and your family, they’re significant money-savers. You’ll pay less (saving hundreds of dollars) for insurance with full smoke detector coverage.
Remember, if someone injures him or herself on any part of your property, you’re liable. In fact, you’re liable even if they are trespassing. It may seem unfair, but trespassers can assert their rights. Remember to get homeowners insurance in a timely manner.
If you have fire insurance and a fire occurs in your home, damage to your landscaping is usually covered. Many people do not know this and end up having to pay their landscape damages themselves. However, most insurance companies will not pay more than 500 dollars per tree or shrub.
It is a good idea for new homeowners to pay 1/12 of the insurance premium into an escrow account each month. This means you will not have to scrounge around for money every month when the payment is due.
Insurance Policy
As mentioned above, a home owner’s insurance policy is a necessary safety net in case of fire, theft, or other disasters. Having a good home owner’s insurance policy in place will benefit you in case the worst occurs. Having read the advice in this article, you should be better prepared when selecting a home owner’s insurance policy.
It’s important to have enough homeowner’s insurance coverage to replace your property and its contents if disaster should impact your life. You want to make sure that if anything happens, you are totally covered. Remember that the materials used to build and renovate your home can also affect insurance rates.