It is so exciting moving into a new home. There are many things to plan for and look forward to doing in this new space. You may spend a lot to buy the home, renovate it, and furnish it. That is why you need home insurance to protect it. To do that, buy a policy that reflects the risks in the home, and the needs you have for it. There are a few key things to consider about these policies. As a first-time home buyer, here’s where to start with coverage.
Choose Coverage That Meets Your Needs
It is not wise to buy the lowest-priced home insurance policy you can find. Most of the time, these cheap home insurance policies do not provide adequate coverage. That doesn’t mean the most expensive plans offer better protection. Instead, make sure your policy represents your specific needs.
• It should have protection for the structure itself. This includes the home, attached garages, attached patios and any other features of the property.
• It needs to include enough coverage for the actual belongings you have in your home. Be sure the policy represents the amount of value of your personal possessions.
• Your policy also must have liability insurance to protect you from claims others make against you. Usually, you’ll want enough coverage to protect your own net worth.
Select coverage that’s based on the value of these three specific areas to start. This gives you a good foundation for coverage.
Look at the Terms of Your Policy
The financial terms of any home insurance policy need to reflect your specific needs. Here are a few things to keep in mind.
• The premium is the amount of money you pay to purchase your policy. It needs to be competitively priced to fit your budget. Your agent is more than happy to help you get the right premium.
• Your deductible is the amount you pay before your insurer covers the rest when you file a claim. Make sure it is an amount you can comfortably pay at any time. The higher it is, the lower your home insurance policy’s premium will be.
• Know your coverage limits. This is the most you can file a claim for through your policy.
• Find out if the policy includes exclusions. Your policy won’t cover certain losses, so you’ll need to be aware of what these are.
Take the time to compare various features on your home insurance plan before agreeing to it. Not all companies offer the same protections. However, most offer discounts and savings opportunities. It can be affordable to buy coverage when you compare options and choose a policy fitting to your home’s needs. Contact us today for more information.