[Read A Bit Blog]   Home Insurance – Are You Covered?
No one likes to think about disasters, especially homeowners.  Severe weather, fire, theft, or a broken pipe can wreak havoc on your home and result in thousands of dollars in damages.  Fortunately, a good home insurance policy covers your home—as well as the belongings in it—in case disaster strikes.

While terms vary, most policies also help to protect you from liability if someone outside your household becomes injured on your property.  And that liability coverage is often extended to include damage you (or anyone living in your household) may do to someone else’s property.1

  

Home Insurance

While you never want to leave yourself without a safety net, you also do not want to overpay for insurance you don’t need (and will hopefully rarely use).  Aim to strike a balance that will provide you with adequate protection at an affordable price.

   

Home Warranties

Some homeowners choose to supplement their home insurance coverage by purchasing a home warranty.  A warranty plan covers many of the systems and appliances in your home that are NOT covered by homeowners insurance. While policy terms and coverage vary, a home warranty will often cover the cost (after deductible) to:  repair or replace components of your HVAC, electrical, and plumbing.  Some may even repair or replace appliances that fail due to age or typical wear and tear.  Read the warranty carefully.

Unlike homeowners insurance, home warranties aren’t required by mortgage companies. But many homeowners like the added financial protection and peace of mind that home warranties provide.3

Minimize Risk, Maximize Value

Now that you understand the basics of home insurance, you should be ready to start shopping for a policy that best fits your needs and budget. Your goal should be to minimize your risk while maximizing the value your policy provides.

   

Need Guidance? We Can Help!

Once you’ve purchased your policy, avoid setting the annual renewal on autopilot. Instead, take some time to consider factors that have changed over the past year. Home improvements, a shift in market conditions, a new home-based business, or even growth in your overall net worth.  Any one of these could mean it’s time to reassess your home insurance coverage.

If you have questions about purchasing homeowners insurance or a home warranty—or if you would like a referral to a reputable broker—give us a call! We’re here to help.

Sources:  1.  Insurance Information Institute    2. Insure.com    3.  American Home Shield

The above is an opinion and is for informational purposes only.  It is not intended to be financial or insurance advice.  Consult the appropriate professionals for advice regarding your individual needs.