When you shop for homeowners insurance, you want to be sure that you are getting the best coverage at the most affordable rate.Â When shopping, sometimes people make mistakes that can cost them.Â Saving money by reducing your coverage could end up costing you more in the long run, if something disastrous were to happen to your property.Â Here are a few tips that you can use when shopping for insurance so you can avoid some of the most common pitfalls.
Purchase enough coverage to replace your home and belongings â€“ If you have too little coverage, you will not be able to rebuild your home or re-purchase the necessities in life.Â If you do not know what the best coverage is to purchase, discussing it with your insurance agent can help.Â
- Read the fine print and purchase additional coverage â€“ Flood and earthquake insurance is not usually included in a basic homeowners insurance policy.Â If you live in an area prone to these types of disasters, extra coverage is required.Â Liability coverage offered on your homeowner insurance policy protects you and your resident relative on and away from your property.Â Make sure you have sufficient coverage to protect you and your assets from an potential liability claims.
- Consolidate your policies with one company â€“ If you have different providers for homeowners, car or life insurance, you could be paying too much.Â When you consolidate your polices, many insurance companies will give you a discount on a total package.
- Consider the deductible vs. the premium â€“ When you carry a high deductible, your premium price will be lower.Â However, keep in mind, if you happen to have many claims in one year, having a higher deductible can be more expensive.Â Weigh the options before deciding on a very high deductible.
While it is not an insurance specific tip, it is also important that homeowners take the necessary steps to protect their home.Â Installing security systems, performing regular maintenance and having protective items such as smoke alarms, can help you to prevent disasters, so you can minimize the costs that you have to incur.Â In some cases, installing burglar alarms, smoke detectors and other devices can help you to qualify for discounts as well.Â Please contact AIS Insurance for more information and other insurance products.
This content is offered for educational purposes only and does not represent contractual agreements. The definitions, terms and coverages in a given policy may be different than those suggested here and such policy will be governed by the language contained therein. No warranty or appropriateness for a specific purpose is expressed or implied.