Great question! There are a few things to look for in "good " insurance. The first is coverage - what will it pay for if you file a claim? The better coverage, the better for you. The second is the price - is it reasonable and affordable for you? The third is the deductible - how much will you have to pay out of pocket ( or can afford to pay) if you have to file a claim. These simple rules should apply to any insurance that you might look for. I always suggest that you compare policies before purchasing one, it is always good to have an idea of what you want before signing on the dotted line! Thanks for asking, and if you would like to discuss this more, just hit the contact me button, I'd be happy to help!
What makes up a good homeowner’s insurance policy?
In my mind it’s a policy that is going to do what you want it to do, at a price you are willing to pay. The problem is, most insurance buyers don’t really know what they want the policy to do.
Most people seem to want a policy to repair or replace their home if it’s damaged. To me that means you want an “all-risk” policy on your home with a “Guaranteed Replacement Cost” feature, which automatically increases your amount of insurance following a loss, to whatever it takes to rebuild your home if it is damaged and has to be rebuilt. “ All- Risk” type policies will not cover everything but they will specifically state what you are not covered for and you can decide where to go from there. Few policies include the “Guaranteed Replacement” feature; so make sure you ask for it. And if the company doesn’t offer it, you may want to check with someone else.
Most people also want their personal stuff replaced should it be damaged or destroyed. So a good homeowner’s policy should do that. That means, “all-risk” replacement cost coverage for all your stuff. If it’s not “all-risk”(often called Special Coverage or Open Perils) Replacement Cost, you may want to look further. Again, not all types of damage will be covered but the policy will tell you what you are not covered for so you won’t have any surprises. Often specific exclusions can be eliminated for an additional cost. Most policies don’t include these features so make sure you ask for them if that is the kind of coverage you expect.
Good homeowners policies will include coverage for the additional expenses you may incur should your home be damaged and you have to live somewhere else while it is being repaired and a nominal amount of Personal Liability coverage, a good one will have limits not less than $300,000.
A good homeowner’s policy will be offered by a financially strong, at least A-rated insurance company hopefully with a local contact to help you understand what you are getting, makes sure it covers any special situations that make up your life and is there should you have a significant claim. A good homeowner’s policy is one that doesn’t get cancelled the first time you have a claim.
Buying insurance on-line may be popular and convenient but you have to know what you are doing. Remember if there is a problem, you are one small policy and they are one big insurance company. It may be a good time to have somebody local on your side.
.JPG){kind=avatar}
Normal
0
What makes up a good homeowner’s insurance policy?
In my mind it’s a policy that is going to do what you want it to do, at a price you are willing to pay. The problem is, most insurance buyers don’t really know what they want the policy to do.
Most people seem to want a policy to repair or replace their home if it’s damaged. To me that means you want an “all-risk” policy on your home with a “Guaranteed Replacement Cost” feature, which automatically increases your amount of insurance following a loss, to whatever it takes to rebuild your home if it is damaged and has to be rebuilt. “ All- Risk” type policies will not cover everything but they will specifically state what you are not covered for and you can decide where to go from there. Few policies include the “Guaranteed Replacement” feature; so make sure you ask for it. And if the company doesn’t offer it, you may want to check with someone else.
Most people also want their personal stuff replaced should it be damaged or destroyed. So a good homeowner’s policy should do that. That means, “all-risk” replacement cost coverage for all your stuff. If it’s not “all-risk”(often called Special Coverage or Open Perils) Replacement Cost, you may want to look further. Again, not all types of damage will be covered but the policy will tell you what you are not covered for so you won’t have any surprises. Often specific exclusions can be eliminated for an additional cost. Most policies don’t include these features so make sure you ask for them if that is the kind of coverage you expect.
Good homeowners policies will include coverage for the additional expenses you may incur should your home be damaged and you have to live somewhere else while it is being repaired and a nominal amount of Personal Liability coverage, a good one will have limits not less than $300,000.
A good homeowner’s policy will be offered by a financially strong, at least A-rated insurance company hopefully with a local contact to help you understand what you are getting, makes sure it covers any special situations that make up your life and is there should you have a significant claim. A good homeowner’s policy is one that doesn’t get cancelled the first time you have a claim.
Buying insurance on-line may be popular and convenient but you have to know what you are doing. Remember if there is a problem, you are one small policy and they are one big insurance company. It may be a good time to have somebody local on your side.