Your home is one of your biggest investments, so it is important to make sure it is protected. Homeowner’s insurance is your safety net for life’s accidents. While there are standards for coverage, such as fire, there are many ways to customize your policy to make it work for your home. With Home Owner’s insurance from Citywide, you are given both protection and peace of mind.
Basic coverage of homeowner’s insurance is your safety net for life’s accidents, and if you have a mortgage, it is likely required. It covers, fire and smoke, lightning, theft, ice, snow, and frozen pipes. If you cannot live in your home due to one of the covered risks, it will typically cover your living costs. But, it’s not just your home that we protect. If somebody is injured while in your home, our liability coverage will cover them and any possible court fees associated with the injury.
It is important for you to read through your homeowner’s policy to determine what your coverage excludes. Exclusions vary from one company to the next and also depend on the type of coverage you have. According to insurance.com, most homeowner insurance policies exclude damages due to flood, nuclear accident, war, earthquakes, or an act of terrorism. You can purchase additional coverage to include these events. It is important to note that damage from normal wear and tear is never included in a homeowner’s policy. The homeowner is responsible for performing or scheduling regular maintenance on the home.
When filing a homeowner’s claim you have certain rights, including access to your insurance policy in the event it was lost and also access to your insurance claims report. In addition, you have the right to challenge any denied claims. Be sure to provide proper documentation for the claim and fill out the forms correctly. If a claim is approved, the payment is sent either directly to you or to the account manager of your mortgage escrow account. Be sure to limit the number of small claims you make on your insurance as too many claims increase of your insurance risk profile and will appear on your insurance credit report.
A deductible is the amount of money you have to pay toward your claim before your insurance will pay. Insurance companies utilize deductibles to reduce the number of trivial claims. Be sure to understand what deductibles you have on your homeowner’s policy. You can have a deductible ranging from $250 to over $5000. The higher your deductible the lower your homeowner’s insurance premium will be.
Your insurance premium is determined by several variables. The location of your home is an important factor as some areas have a higher level risk of flood, wind damage or crime rates. Other factors include the age, size, and construction of the home as well as the replacement value of your home. Newer homes are built with stronger materials, making them less risky, while larger homes cost more to replace so the risk is higher. Another factor that may impact your premium is the value of your personal property and the amount of personal liability coverage you have.