Homeowners Insurance Quotes

 

Homeowners insurance quotes play a critical role in protecting your home and property against damage from natural disasters, accidents, vandalism, and fire. If you know which coverage options you need as well as what factors will affect your premium rates, get more pointed questions answered by an agent or service directly. Find out how to make the best decisions for maximizing coverage with a minimum investment.

If it's been a while since you've gone through the checklist of homeowners insurance quotes requirements, now is a good time to do so. The checklist below provides an overview of some coverage options that can help boost your chances of having coverage when you need it.

For a full list of requirements, see our list of homeowners insurance requirements .

Most homeowners policies require the following:

Homeowners policies usually cover loss of use, due to fire and smoke damage (of your home and belongings), but not for loss due to theft or vandalism. If you don't have these other policies, then you must have at least comprehensive coverage on your policy. This will pay for repair costs after a covered loss event (fire or water).

Homeowners insurance is usually required in all states. Your homeowners policy will provide coverage for your house, its contents, and liability. Your property might be damaged in a variety of ways including fire, windstorm, theft, vandalism or animals. And if you cause an injury to someone else on your property or their property, your homeowners insurance will cover the cost of any resulting lawsuit for damages.

On top of that, you can also get liability coverage which covers damage to other people's property or injuries they suffer due to your negligence or carelessness while in or around your home. It also covers the cost of any legal fees should you be sued as well as medical payments if someone is injured on your property and needs immediate medical attention.

It's easy to get confused when it comes to homeowners insurance quotes. First, you must determine what kind of coverage you need-ie home fire or wind damage. Then you'll have to figure out what kind of deductible is right for your budget. After that, it's simply a matter of going online and finding a company that offers the best no-hassle quote.

Before you get too excited about any one company's offer, make sure you have the following:  your policy number, your agent's name and phone number, and most important make sure they have been in business for at least three years (see chart below).

Homeowners Insurance: How to Choose the Right Policy for Your Needs | TheStreet.com

Here are some things to keep in mind when evaluating warranties:  a.  If you're purchasing a new home or if your old home has an extended warranty, make sure that the warranty is underwritten by a company that is authorized by the National Association of Mortgage Insurance Companies (NAMIC). The NAMIC is an industry group comprised of associations of mortgage originators and domestic insurance companies. These associations are responsible for maintaining their members in good standing with the National Association of Insurance Commissioners (NAIC) and ensuring that they act according to NAIC regulations, licensing and laws. B.  Make sure you read the fine print and ask questions . What exactly is covered? Will you be responsible for deductibles? Do I have to submit all repair orders in writing or are they okay with me calling in for service? How long will it take to get my home back once it's been fixed? Reputable companies will be happy to answer these questions, especially since they are making a warranty promise. Also, before you buy a warranty, make sure your existing homeowner's policy isn't already providing coverage. Most policies have a basic warranty provision that will pay for damage caused by wood-destroying insects or termites. This coverage is usually equal to the amount of your home's insured value. Read your policy to determine how much you will receive if your home is damaged by termites, wood-destroying insects or other natural occurrences. But beware:  a.  Be sure that you file the warranty claim with your insurer within the time period specified in the insurance policy and that you have requested a copy of your policy before contacting a service provider...or else no one will pay for any repairs or replacements.

b.  Never be lured into buying warranties from people who come door-to-door. You'll likely end up paying double for what's basically an insurance scam that cash-strapped consumers fall for every day . Get more information on the difference between a real company and a fraudulent one

Homeowners insurance policies will also reimburse you for the cost of legal fees if you have to sue to recover damages, such as the cost of repairing your home after a fire. But some policies provide a specified amount, which might not be enough to cover all your costs. To protect yourself against this eventuality get an umbrella policy to go over your standard homeowners insurance policy. A typical umbrella policy pays up to $1 million for any type of liability claim made against you (or on behalf of someone else) from bodily injuries or property damage that occur away from your home and don't involve flood or earthquake coverage.

Umbrella policies are very inexpensive (the average premium is about $120 a year) and are a great way to protect your assets if you're in an accident or get sued. You can usually buy an umbrella policy along with your homeowners insurance and keep the price down by bundling the policies. Plus, if you already have a homeowners insurance policy, chances are you'll qualify for discounts on your umbrella policy.

Homeowners insurance covers accidents that occur at home or on its premises, but not necessarily if you cause harm to someone or their property while away from home. So get an auto liability policy to cover any damage that occurs while you're driving somewhere other than your own home. You'll be covered if you're in an accident and someone sues you.

An auto liability policy also covers damage caused by your car to the car of others while you're driving. It's a good idea to have at least $100,000 in liability coverage, especially if there are expensive items in your car that others might try to steal.

As a homeowner, you're responsible not just for damage to your own property but also for any damage or injury to someone else's property or person that occurs on your property. If they can prove that the damage or injury was caused by something you did (or failed to do), even accidentally, you may have to pay for repairs or medical costs related to that incident. If you're sued for an injury, it's possible to win in court even if there's no damage to your own property. If you can prove that the injury was caused by something someone else did (or failed to do) on your property, it may be more difficult to win a lawsuit. For example, if you injure someone while they are using a door or ladder, their claim may not be enough to cover the cost of repairing or replacing damaged property on your property (consider purchasing an umbrella policy).

Conclusion:

Buying a home is an emotional choice, but it's important to weigh the benefits of homeowners insurance against the risk of being sued and paying out big money for damages. The more you know about how homeowners insurance works the better your chances will be to make a smart purchase.

InsuranceQuotes.com has updated its usual homeowner's insurance comparison tool and uses data from The Hartford, which recently merged with the now-defunct Travelers. This gives you an interesting look at insurers in Florida vs. those in other parts of the country, as well as a look at some of the coverage differences that you might face. You can also check out our post on what types of liabilities are covered by these policies .