If you followed the “American Dream” straight down the path into homeownership, you probably came at it from the direction of a 30-year mortgage. Regardless, if you financed any portion of your new abode it is more than likely they required Hazard Insurance or Homeowner’s Insurance as it’s more commonly called. The lender of course is looking to protect their investment in your home and part of that protection is found in a homeowner’s insurance policy. Maybe you were fortunate to purchase your house outright with cash, or you made that victorious final payment on your mortgage; either way, it is a prudent financial decision to keep your property insured.
In the world of insurance it comes down to one thing: assessing risk. It is about the numbers, statistics of past claims and demographics. At an arm’s length the insurer will make their best assessment of your risk level. Most homeowners insurance policies cover theft, wind damage, fire and explosion. It is suggested that homeowners insure their homes for the full amount of replacement cost. The best way to determine your home’s replacement cost is by ordering an appraisal of your property.
It’s wise to keep an inventory of anything important in your home to prove you had it in the event of a claim. Take pictures of these items and file them somewhere safe.
Take a peek at Consumer Reports’ Guide to Homeowner’s Insurance. They provide great survey information on just how consumers faired in claims situations and in different coverage.
Speaking with a licensed professional is the best place to start in your search and to answer questions. Contact Podmaska Insurance Agency for a no-obligation insurance consultation.
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