Good Morning. If you are thinking about buying your first home or condo, if you are purchasing a vacation home or if you are renting an apartment you will definitely need home owner’s insurance. When many people think about insurance (of any kind) they feel that it is going to be a headache. People who are applying for life insurance assume that they are going to have to fill out a long questionnaire, people who are applying for car insurance assume that they are going to have their driving record examined to death and people who are applying for home insurance assume that they will be paying an insurance premium for a service that they don’t necessarily need. But you know what they say about people who ass-u-me!
It’s better to be safe rather than sorry with home insurance
I say that people apply for home insurance because just like many other financial products you can always be declined for home insurance. You will definitely need to have some details about your insurance history as well as your home when you are shopping around and applying for home insurance. Most insurance companies want to know the size of your home, the type of heating, the year of construction and if you run any types of business out of your home. When you are applying for home owner’s insurance be prepared to provide details but don’t be afraid, after all it is for your best interest.
Can you think of the financial impact of having an emergency in your home without having home owner’s insurance? Just take a moment to think about how much it would cost to replace your floors if you have a flood, your personal items if you are robbed your appliances if you have water damage and even your entire home if you have a fire. The financial impact of having an emergency can be devastating, so it’s always better to have insurance to cover the cost of your losses.
You can customize your home insurance to fit your needs
Basic home insurance covers the actual structure of your home and after that everything in your home owner’s insurance policy can be tailored to your personal liking. You can decide how much insurance coverage you want to purchase (usually in increments of $10,000 or $25,000), you can also decide what types of additional insurance you want to add onto your basic home owner’s insurance policy.
If you have furs, art or expensive jewelry you can purchase additional home owners insurance to cover the costs in case your personal items are ever damaged, lost or stolen. Paying the insurance premium is a lot less expensive than having to replace some (or all) of your most valuable possessions. If you don’t have these items then you don’t need to purchase the additional insurance.
Don’t be afraid to ask your insurance company questions about the type of coverage you need as well as their services in case you ever need their assistance. Licensed insurance agents are always there to help us understand our insurance policy and purchase the coverage that we need.
Photo by thomas good