Questions to Ask When Buying Homeowners Insurance
In this blog, we will talk about homeowners insurance and the questions to ask.
Holbrook Insurance Center Inc. provides different kinds insurance policies in Hingham, Laconia, Braintree, Alton, NH, Quincy, MA, Weymouth and surrounding areas.
- What does the policy cover, and what are the exclusions?
Answer: Standard homeowners insurance covers your home’s structure, personal belongings, liability for injuries, and additional living expenses if your home becomes uninhabitable. However, most policies exclude floods, earthquakes, and maintenance-related damage. Ask about optional riders for additional protection.
- How much coverage do I need for my home and belongings?
Answer: Your dwelling coverage should be based on the cost to rebuild your home, not its market value. Personal property coverage typically ranges from 50-70% of the dwelling limit. Conduct a home inventory to ensure adequate coverage, and ask about replacement cost vs. actual cash value coverage.
- What is the deductible, and how does it affect my premium?
Answer: The deductible is the amount you pay out of pocket before insurance kicks in. Higher deductibles generally lead to lower premiums, but you should choose an amount you can afford in case of a claim. Some policies have separate deductibles for disasters like hurricanes.
- Does the policy include liability coverage, and what are the limits?
Answer: Most policies include liability coverage, which protects you if someone is injured on your property. Standard limits are around $100,000–$300,000, but you may need higher limits if you have significant assets. Consider an umbrella policy for extra liability protection.
- Are there discounts available?
Answer: Many insurers offer discounts for bundling home and auto insurance, installing security systems, being claim-free, or making home improvements. Ask which discounts apply to lower your premium.
These questions ensure you get the right coverage at the best value, avoiding surprises when you need to file a claim.
Contact us anytime if you need more information.
