So, you have bought that house you have been dreaming of. All those years of saving up for the down payment finally paid off and you’re already in the midst of packing things up so you can move right in. But there’s another important investment you must make and that’s home insurance!
You may already feel overwhelmed with buying a home that you may put the minimal amount of attention into purchasing home insurance, especially if you’re a first-time home buyer. The thing is, home insurance is required in order to protect your home and personal property. Before you sign the contract, here are some tips to keep in mind!
Determine the Amount of Coverage
Depending on the size of your home and the number of personal belongings you own, your rates may vary. That’s why you should spend a moment to take stock of your inventory before you begin the insurance shopping experience.
By knowing the total value of your belongings, you might be able set the limit of your contents insurance just above that in case you ever need to replace any stolen or damaged items. Be advised that some carriers require a minimum limit for personal property based on the limit of the dwelling. You’ll also need to figure out whether you need any riders, or additional policies, on your insurance for high-value items, like jewelry, furs or coins.
Make note of other assets outside your home including stocks, savings, and real estate properties for liability coverage limits. From there, you will be able to determine the amount of coverage you will need. You might consider an umbrella policy for even higher liability limits.
Here in Fort Wayne, Indiana, you might also want to look at flood and earthquake insurance; these types of policies may be separate from your homeowners policy.
Compare Deductibles and Discounts
The deductible of an insurance policy is the amount you will have to pay out of pocket on a claim before your insurance company kicks in for the rest. This applies only to the coverage you have on your home and personal property. Basically, the better your policy, the less you’ll have to cover when an incident occurs.
Be sure to ask your agent about any available discounts you may qualify for. Having security features in your house, such as an alarm system or deadbolt locks, is one such example that can net you a reduction. The availability of these discounts varies on a carrier-by-carrier basis.
Above all else, it’s important to keep the interests of you and your family in mind throughout this process. Read your policy carefully as it is a legal contract, after all. So long as you know the right questions to ask and you take the time to compare rates, you will find the perfect home insurance policy for you! Myers & Hayden Insurance has been assisting Fort Wayne, Indiana residents in examining their homeowners insurance needs since 1988. Give us a call at 260-486-5255.