Useful Tips for Homeowners

<img src="hands holding house.jpg" alt="Hands holding house" width="117" height="108">
A Homeowners Policy is vital!

Useful Tips on Homeowners Insurance

There are some things you have to know about Home insurance and that includes selecting the best insurer and getting suitable and enough coverage.

1. You are only a statistic.

In the eyes of an insurer, you’re not a person with a name; you are a set of risks. When an insurer has to decide on you as a client and your premium, they base it on your “risk factors,” which include your occupation, who you are in society, how much you own, and what kind of lifestyle you lead.

2. You have to know the value of your home.

Before you decide on a policy, call in the help of a local builder to give you an all inclusive estimate of your home’s replacement cost.

3. Be aware that Insurers differ.

Whether it’s a car or furniture that you are buying, the same product can have vastly different prices at different suppliers. The same is true when you purchase Homeowners Insurance. Get a few quotes, compare and save yourself some money.

4. Price is not the only important factor to consider.

Do your homework! Ask around! Investigate the insurer’s track record for servicing a claim. You will stop smiling at a low premium, if an insurer is in no rush to deal with your claim.

5. Consider more than the basics.

Buying a basic homeowners policy will be cheaper, but it might not offer to fully replace your home, if that is what you need some day.

6. Enquire and request discounts.

Certain behaviour on your side, that will reduce risk, will attract discounts from your Insurer.

A huge amount of money is lost by policy holders who don’t ask for discount. The insurers are quietly smiling about all the money they score.

7. Your insurer is not essentially your friend when you have a claim.

You and your insurer may have a very different opinion of fair compensation. It is your insurer’s responsibility to reinstate your financial position. It is your responsibility however to prove the full extent of your losses in order to get full refurbishment.

8. Have the correct details to file a claim.

Make sure your policy is regularly updated. Read the policy before you file a claim to prevent any nasty or disappointing surprises.

Have a look at the following interesting information:

How your Home Insurance premium is calculated

Ref.:

http://money.cnn.com/