3 Homeowners Insurance Mistakes You Should Be Sure to Avoid
No homeowner should be without the protection of homeowners insurance. However, considering the number of options that come with most homeowners insurance policies, it is no coincidence that choosing the right options is easier said than done. Fortunately, if you are interested in getting exactly the protection that you need while paying as little as possible, there is a wealth of experience out there for you to peruse.
Be sure to avoid these 3 homeowners insurance mistakes:
- Under-insuring is one of the most common problems in insuring both homes and their contents. In part, this is because a lot of homeowners choose to purchase coverage based on their mortgage, which is not an accurate assessment of their homes’ real value. Instead, homeowners should hire a professional to estimate the cost of rebuilding their homes and then purchase coverage based on said estimates. Otherwise, said individuals still stand to reap terrible losses in case of unexpected emergencies.
- Making baseless assumptions about covered and not-covered contingencies is another serious problem that can lead to enormous financial losses. For example, a lot of homeowners assume that their insurance policies come with coverage for flood damage even though it is non-standard. To avoid running into such issues, you must make sure to read through the exact coverages listed in your insurance policy and purchase riders as needed.
- Some insurance policies come with named-storm deductible clauses, meaning that the insurers can charge higher-than-normal deductibles in case of damage from named storms. You can either choose insurance with the same deductible under all circumstances in exchange for a higher premium or have enough savings on hand to cover a higher-than-normal deductible.
If you are interested in purchasing homeowners insurance to protect both you and your family, please contact us at Schumacher Insurance Agency for expert assistance.