First time homebuyers should be full of questions regarding homeowners insurance. If you are buying your first home, start by choosing a trusted, experienced insurance agency with a long track record of customer satisfaction. Usually an agent is chosen by getting a recommendation from a close friend or family member. Realtors can also be helpful in choosing a good insurance agency. Once you have chosen an insurance agency, you can then sit down and discuss your questions and problems regarding the coverage of your new home. Below are some discussion points about what you should know about Homeowners Insurance .
First you have to determine the home insurance value. This is based on compensation costs, not necessarily on the market value. Your agent will help you find out this considering the size and building materials used.
Choosing a Deductible
A deductible amount must be determined when buying a homeowner's insurance policy. Going for a higher deductible will save money on premiums. If you choose a higher deductible, try to have an emergency fund to cover that amount if you need to enter a claim.
Is the contents of my home covered?
Homeowners' insurance automatically covers property up to a percentage of the home's insurance value. This is often set at 75%. If you have many valuable items, such as jewelry, you may want to purchase additional coverage. To facilitate this process, take an inventory of your content with photos or a video of each room in the house. Update the list regularly.
Are floods or earthquakes covered?
Standard Homeowners Insurance does not cover flood damage. If your home is at risk of flooding due to proximity to a body of water or other flood hazard, you should have flood insurance. Mortgage companies usually require flood insurance if the house risks being flooded. All this would also apply to earthquakes. You would need to purchase additional coverage if your house is in an earthquake prone location.
"All Risk" coverage
Ideally when you buy homeowners insurance you want "All Risk" coverage. Most homeowners' insurances cover fire, theft and wind damage. There are many additional risks to your home and property that may not be covered by traditional homeowners insurance. These excess risks are something to discuss with your insurance agent so that you will feel completely protected.
Talk to a Professional for Full Homeowners Insurance Protection
The staff of experts at Bogle Agency Insurance are available to guide you to the best and most comprehensive coverage for your home. We have been helping New Jersey homeowners for over 100 years. Of course, insurance coverage has changed during that time, but we are always updating our knowledge and are ready to offer the latest, latest coverage available. If you are a first time home buyer or moving to another location, Bogle Agency Insurance offers the most professional help in buying homeowners insurance. Call us at (201) 939-1076 and let's talk!