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Do You Have Enough Homeowners Insurance?

Avoiding Over Or Under Coverage On Homeowners Insurance

Homeowners insurance is a necessity, but they key to the coverage is finding the right balance. Paying for more than you’ll ever need wastes your money. Having too little coverage can cost you even more if something were to happen. Trying to find just the right amount can feel overwhelming. How are you supposed to know what’s what in the insurance world? You don’t want to be caught without enough insurance and risk your lifestyle, but you also don’t want to waste money paying for too much. Use these tips to help you get the right amount of homeowners insurance for your family.

Look At Policies Closely

Not all homeowners insurance policies are the same so before you agree to one, look at the details with care. You will want to continue to review your policy on an annual basis to ensure that it still meets your needs, which definitely evolve over time. You should understand the basic types of coverage you can get to help you estimate what you need. You should get enough insurance to cover the cost to rebuild your home, outside of the land’s value. You also need to consider the things within your home.

Consider Rising Construction Costs

As you evaluate what you need, and what you will need in the future, the construction costs can help guide your decisions. If your home is new when you buy it, you already know the construction costs on that home. However, those costs will rise as years go by. Talk to a local realtor who knows about new construction homes if you buy a previously owned home and see what the going rate for construction is in that area.

Remember Your Valuables

The home itself is the largest cost involved in homeowners insurance, but all of the valuables you’ve placed inside the home over the years add up as well. You want to be insured for your home’s contents as well as for rebuilding. Get in the habit of taking a detailed video of your possessions every year or two and place that video in a fireproof safe.

Liability Is Important

You will also want to have liability coverage within your homeowners insurance to cover your interests if someone were to fall on your front steps or get injured in your home in any other way.

Finding The Right Homeowners Insurance Policy

There are plenty of options for homeowners insurance and it can be very challenging to dig through the options and amounts to find the right choice for you. Work with the seasoned professionals at Nickerson Insurance Services to get to the bottom of the issue. Think about your lifestyle and what it would take for you to rebuild the home and everything in it from scratch. It’s also important to evaluate whatever policy you end up with as time goes by. Did you finish the basement? Add a pool table? Get new jewelry? Your values might go up as your home grows and changes.

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