Trying to find a homeowner’s insurance provider that meets all of your needs can be a tricky task. However, when you know what questions to ask and what to look for, you can arrange a policy that will protect you and your family for years to come. Here are five things to look for in a provider that will make the search feel easy.
1. An Easy-to-Understand Claims Process.
While you may find two policies that promise the same amount of coverage, you might find that they’re vastly different when it comes to what they actually offer you after a loss. To ensure you’re getting the most from your insurance, look for a provider whose claims process is easy to understand. Having a provider that has agents that can easily explain how claims are handled works too. See if the policies they have pays for only the things that you replace or all of the things you’ve lost.
Other policies will give you the cash value of the belongings you lost right after, but they’ll wait to cover the value of your replaced items after you’ve replaced them. This could be an issue if your home is destroyed and you have no cash saved. Consider this while you’re hunting for the best policy.
2. A Reasonable Replacement Timetable.
You want to ensure that the provider you choose will give you the money to replace your items in a reasonable time frame. If serious damage happens, you could end up moving to a hotel room with your partner, kids, and cat. In this situation, you want to know when you’ll be back on your feet. And, you’ll want it to happen as quickly as possible. Seek out a provider who has a great reputation for being timely.
3. Flood, Earthquake, and Water Damage Insurance.
Ensuring that your homeowner’s insurance covers earthquake damage isn’t necessary for everyone. However, if you live in an area prone to these types of natural disasters, this coverage is essential. Finding this coverage can be difficult as a lot of providers don’t offer it on their policies. Ask the insurance agent if they cover flooding or earthquakes.
Another question you should consider asking is “does homeowner’s insurance cover water damage?” It’s imperative to look for a provider who offers this coverage no matter where you live. It won’t help cover the damage caused by floods. However, it can help those who suffer water damage for other reasons, such as a burst pipe. Water damage can be devastating. You need to ensure it’s part of your insurance policy before you commit.
4. Replacement Value Insurance.
When you look for insurance providers, you’re looking for a company that will replace everything lost or damaged with something of equal value. Your possessions aren’t up for sale. You shouldn’t be dealing with how much they would fetch on the open market. The best way to ensure that your policy covers your home and its contents is by looking into replacement value insurance.
The whole point of investing in homeowner’s insurance is to keep your home safe. If there comes a time when you need to replace your whole house then you need coverage to do so. You can find this coverage with a provider who offers extended or guaranteed replacement value coverage. Finding a provider who can give you either one of these policies means that you’re in good hands.
Guaranteed replacement covers the costs to rebuild your whole home, but it’s not offered much anymore. Nowadays, providers opt for extended replacement. This policy will cover the entire value of your home plus a specific percentage to cover the rebuilding of the home. Both are good options that you should inquire about when looking for the right homeowner insurance provider.
5. An Umbrella Policy.
Looking into a provider that offers an umbrella policy is important for those who have other people frequently coming and going from their home. If one of your guests gets injured, they could possibly sue. While liability insurance will pick up some of the tab, umbrella policies in homeowner’s insurance can add some extra liability coverage.
6. Finding the Right Provider
Knowing what you want in a policy will make the process of committing to a provider so much easier. Remember, your needs for your insurance will change over the years. When you choose a provider, be sure to choose a company you can trust to keep your home and family protected when you need it most.