Understanding Homeowners Insurance
Homeowners insurance is a very valuable investment. Accidents can often happen unexpectedly, causing serious damage to your home. In the event that disaster strikes or someone is hurt in your home, it is important to have the proper coverage to ensure you are protected financially and can repair any damage or cover any costs that are necessary. Nickerson has compiled a list of questions to ask your insurance company before choosing a policy.
How Does Homeowners Insurance Work?
When you purchase a policy, you will be protected from the damages that are outlined by your insurance company. If an accident occurs and your home endures damages that are protected by policy, you must contact your insurance provider as soon as possible and file a claim. Once your claim has been filed, an adjuster will come out to your home to access the damages. He or she will then offer you compensation to fix the damage that was caused and settle the claim.
Are There Different Types of Policies?
Yes! There are, in fact, different types of policies, so it is important to discuss all of them with an in order to choose the policy that best fits your lifestyle. Some of the policies include HO-1, HO-2, HO-3, and HO-5. HO-1 is the most basic form of homeowners insurance. It includes the following perils: fire or smoke, an explosion, lightning, windstorms, hail, volcanic eruption, vandalism, theft, damage caused by a vehicle, damage caused by an aircraft, civil commotion, and riots. HO-2 is also known as the broad form of homeowners insurance. It offers coverage for the same perils as the basic form, as well as damages caused by falling objects, the freezing of HVAC systems, and more. HO-3, also known as the special form, is the most popular homeowners insurance policy. Unlike the previous policies, this type of policy does not limit coverage to only named perils unless specified. HO-5 is the comprehensive form. While it does cover more than the other policies, it is more expensive.
Will I Be Covered in the Event of an Earthquake or Flood?
Earthquakes and floods are not uncommon in the state of California. Unfortunately, these are not typically covered under a homeowners insurance policy, which means you would need to purchase additional coverage to protect your home. We highly suggest doing this as these disasters have the ability to cause great destruction and can happen when we least expect them to.
Are There Any Discounts Available?
There is a possibility that you can qualify for a discount. An insurance company may give you a discount if you bundle different policies (home and auto for example), your home has been newly constructed, you’ve been a loyal customer for a certain amount of years, you’ve installed security systems, and more.
Contact Nickerson Insurance Services
Don’t put one of your most important assets at risk: your home. Protect yourself from liability and financial losses by contacting Nickerson Insurance Services, Inc. today to discuss the right homeowners insurance policy for you. At Nickerson, our agents are dedicated to providing clients with the coverage they need, at a competitive price. We look forward to serving you with your homeowner insurance needs!