After struggling for years with an incredibly expensive insurance plan, I realized that there had to be something that I could do to make things right. I started shopping around for a business that could help me to make things right, and I was able to find an insurance policy that fit well with my budget and my lifestyle. The premiums were low and the coverage was great, which is almost unheard of these days. This blog is all about choosing incredible insurance coverage for you and your family, so that you can enjoy a happier, healthier life. Check out this blog for more information.
To a new homeowner, trying to find a homeowner's insurance policy can seem like an overwhelming task. There are so many different options, it is sometimes hard to distinguish between what you want, what you need, and what you can afford.
What You Want. Sometimes homeowner's are a little overly suspicious about potential calamities that could be the downfall of their home. If asked what type of coverage they would prefer before looking at the pricing options, most homeowner's respond that they will need earthquake and flood insurance, as well as coverage for most natural disasters. For the most part, however, this is just not realistic. What are the actual odds that any of these disasters will befall your home? Depending on the area in which your home is located, it could be relatively slim. Pay attention instead to what you need.
What You Need. Most mortgage lenders are quite particular about what amount of coverage is needed to cover the basic risks of a home. In an effort to try and help homeowner's identify more easily which type of coverage is required, insurance companies have organized different coverage levels into groups.
HO-1: Basic Form. The most basic type coverage level is HO-1. This form of coverage covers all of the basic perils that could happen to your home including fire, theft, vandalism, explosions, lightning strikes, damage from vehicles, and more. It must be noted that earthquake and flood insurance are not included.
HO-2: Broad Form. This form of coverage builds off of the basic form, but includes items falling on your home, damage from wind, rain, sleet, or snow, damage from freezing pipes and more.
HO-3: Special Form. HO-3 is the most common form of homeowner's insurance that people choose. This is because it covers HO-1 and HO-2, but also covers other structures on the property including the garage and deck. It also includes a form of liability insurance where if someone is injured while on your property, you are covered.
HO-4: Renter's Insurance. This form of coverage is not all that applicable to homeowners, since it has to do with renter's insurance and insuring your items while in a rented space.
HO-5: Comprehensive Form. This is a more comprehensive form of coverage, which offers more protection for homeowners than HO-3. Flood and earthquake insurance are still excluded, however, and must be purchased separately.
What You Can Afford. Once you feel you know which type of insurance you need to cover your bases, you will need to compare prices and find the one which best suits your circumstances.
Contact an agency, like Cypress Insurance, for more help.Share
24 February 2019