Tips on Home Insurance

Tips on Home Insurance – Nobody likes to spend money for insurance. But if something could cause you a financial catastrophe, you should insure against that risk. The point of insurance is that you spend a relatively small amount of money to protect against losing a great deal of money. For example, if your home burns to the ground and it’s not insured, you could be out tens (if not hundreds) of thousands of dollars.
Shopping for insurance can be a headache. You should make sure you have enough coverage, that you keep your coverage up-to-date, and that you get the best bargain.
Don’t be tempted to save money and get the last amount of coverage. This is your home! If you want to save money, don’t scrimp on the policy. Instead, get a higher deductible. Doing so can lower the cost of the premium.
It’s easy to put off getting insurance until the last minute. Then, because you have to have the policy at closing, you may just call the first company you think of. It’s better not to wait until the last minute. Shop around and get quotes from several companies. Rates can vary significantly from area to area and from company to company.
If you make a new purchase, keep your receipts and add the item to your inventory of possessions. Having receipts will help you if you have to file a claim. A standard policy will not cover business assets. If you work from your home, you may need additional coverage.
Check about changing the policy. Can you raise the coverage later? Some policies are tied to the Consumer Price Index and rise accordingly. You may have to pay extra for this feature.
Find out what is not covered. If the price in your basement bursts and you have water damage, is it covered? What about earthquakes (usually not covered)? Find out how damages are paid. You want the full replacement cost. If your roof is damaged, you want the insurer to cover the entire payment for a new roof not a partial fee.