It’s spring, which means it’s time for your annual checkup. We’re talking homeowners insurance checkups, something to be completed once a year that could leave your policy healthier and you much happier. Homeowners insurance is a necessity. It protects your home and its contents from more than just a potential accident but a liability as well. Checkups are essential, as they assess whether your policy is working for you and that your premium isn’t costing more than it should. So how do you do one?
Make sure you know what coverage you have
Replacement cost is the most common form of contents insurance, which covers what it would take to rebuild and restore should something happen to your home. You can also extend this to give your replacement cost an added boost, most likely up to 20% extra, based on your losses. This covers unexpected expenses or a rise in cost for replacement.
Make sure you know what coverage you need
Once you’re clear on what policy you have, you need to figure out what you’d require. If your house value has increased and it would cost you more to rebuild it, you need to factor this into your policy. Don’t scrimp on your insurance.
Lowering your premiums
The higher your deductible, the amount you pay before coverage kicks in, the lower your premium. Insurance claims are for big problems, not minor inconveniences. Most homeowners will be able to fix a broken window, for example. A high deductible sounds tempting, but if you’re a first-time buyer without a stable income, it’s not worth it. Start low and build.
If the idea of a checkup is making your head spin, call or email us. We can review your policies and help determine what is best for you and your circumstances.