Review your policy for these key pieces of information.
Many homeowners make the mistake of securing home insurance and failing to review their policy. This is problematic because many of these homeowners don’t realize they have coverage gaps or unaffordable deductibles until they go to file a claim. To ensure that you are not taken by surprise, here are some of the things that you need to know about your homeowners insurance at all times:-
- Your Coverage Limits
All insurance policies have their limits, and your home insurance policy is no exception. Your homeowners insurance likely comes with varying limits for different areas of coverage. Make sure you read through your policy and work with your insurance provider to determine if your coverage limits are high enough to address your risks. If you need to increase your limits, your insurer should be able to make these adjustments for a small premium increase.
- Your Deductibles
Much like your policy includes different forms of coverage, it will also have different types of deductibles. While it’s important to know the main deductible amount that your insurer will collect when you go to file a claim, you should also know if your policy requires additional deductibles for specific types of claims. If you have supplemental home insurance policies to cover things like earthquake, flood, or windstorm damage, then these policies might not impose a dollar deductible amount. Instead, they may require a percentage of the claim amount to be covered as the deductible. To ensure that you are ready for a claim event, make sure you know all your various deductible requirements.
- Your Covered Perils
Many homeowners make the mistake of assuming that their homeowners insurance protects them from every threat that comes their way. However, there are certain perils and damage events that will not be covered by your standard home insurance policy. For instance, standard homeowners policy will specifically exclude coverage for floods, earthquakes, sewer backups, pest infestations, and losses related to a home business. To ensure that you are not caught off guard by a coverage gap, make sure you read through your policy and speak to your home insurer to discover exactly what your policy will cover. Keep in mind that there are various insurance endorsements and specialty policies that can fill your coverage gaps if necessary.
These are some of the things you need to know about your home coverage at all times. Need help with reviewing and understanding the coverage spelled out in your homeowners insurance policy? Contact an insurance professional at Westwood Insurance Agency today.