Being a homeowner is a large undertaking. On top of all of the little things you do to keep your home in the best shape, finding an insurance plan for your home can quickly become a stressful process without the right information and support. Here are 5 of the most common pitfalls faced by homeowners who are starting their journey to finding adequate and affordable coverage.
1. Focusing on price
It’s important to balance your finances across all of the expenses involved with owning a home. However, choosing the cheapest coverage without doing any research on whether or not the included benefits suit your needs will lead to more serious issues down the road. Consider the reasons the plan might be substantially cheaper than alternatives; did the company cut out key coverage, or do they have inadequate reinsurance policies? Your home is an investment and should be treated as such within your means.
2. Not considering policy exclusions
Carefully review any plan you are considering to determine if there are any exclusions that could harm you and your home in the long run. Understand that an insurance plan is not an “all-risk” warranty and not every single circumstance will be covered.
3. Lack of flood coverage
If your home is situated in an area where floods are not common occurrences, it is easy to wave off flood coverage and consider it unnecessary. But you’d be surprised — floods can happen suddenly and without warning, almost anywhere in the country. Don’t find yourself in deep water with no coverage for the serious long-term damages to the property and possessions that are caused by floods.
4. Not making an inventory
Homeowner’s insurance goes beyond covering the physical property. It also covers all of the important and sentimental items inside a home. While this process may take a little bit of time, making a thorough inventory of your possessions can save you a lot of time, money, and heartache in the event of an unforeseen incident. The faster this information can be provided to your insurance agent, the faster and higher chance that you will be able to recover some of your losses.
5. Not seeking professional guidance
While articles like this one are a great jumping-off point for understanding how homeowner’s insurance works and what to look out for, nothing beats the direct advice of an expert. Your insurance agent is there to walk you through the many processes that can become confusing and stressful, and they are also equipped to offer advice and recommendations for contractors, mechanics, and more in the event of disaster. Insurance companies and agents thrive off the knowledge that their customers understand what to expect as homeowners with a lot on their plates. Using their resources and knowledge is always within your best interest.
Superior Insurance and Auto Tags is dedicated to answering your questions and assuring that you know what is best for you and your home. Set up a consultation with us today to learn more about our exceptional service offerings.
