{"id":27569,"date":"2022-06-10T10:18:00","date_gmt":"2022-06-10T10:18:00","guid":{"rendered":"https:\/\/www.thehouseshop.com\/property-blog\/?p=27569"},"modified":"2022-06-13T22:19:08","modified_gmt":"2022-06-13T22:19:08","slug":"3-big-dos-and-donts-when-buying-home-insurance","status":"publish","type":"post","link":"https:\/\/www.thehouseshop.com\/property-blog\/3-big-dos-and-donts-when-buying-home-insurance\/","title":{"rendered":"3 Big Do\u2019s and Don\u2019ts When Buying Home Insurance"},"content":{"rendered":"\n<!-- SEO Ultimate Plus (https:\/\/seoultimateplus.com) - Code Inserter module -->\n<script async>(function(s,u,m,o,j,v){j=u.createElement(m);v=u.getElementsByTagName(m)[0];j.async=1;j.src=o;j.dataset.sumoSiteId='b68b392479b5981b8acf46565e9fe32a0734fc21a1f7c1e60121eaa6ca1a1c64';v.parentNode.insertBefore(j,v)})(window,document,'script','\/\/load.sumo.com\/');<\/script>\n<!-- \/SEO Ultimate Plus -->\n\n\n<p><span style=\"font-weight: 400;\">With the average homeowner&#8217;s insurance premium continuing to rise and the likelihood of filing a claim at about <\/span><a href=\"https:\/\/www.iii.org\/fact-statistic\/facts-statistics-homeowners-and-renters-insurance#:~:text=In%202019%2C%205.1%20percent%20of%20insured%20homes%20experienced%20a%20claim,with%206.2%20percent%20in%202018.\"><span style=\"font-weight: 400;\">5% per year<\/span><\/a><span style=\"font-weight: 400;\">, buying home insurance is undoubtedly one of the most important decisions in your life. When shopping for home insurance, not only do you want to get the best value at the moment of sale &#8211; you also want to have a long-lasting relationship that grants you peace of mind and confidence in the future.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">So how do you hit the bull\u2019s eye with home insurance?\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Whether you rely on an insurance agent or select a policy on your own, you have to learn the common do\u2019s and don\u2019ts when shopping for home insurance. Now, this may not instantly turn you into a home insurance expert. To become one you will have to do research and read dozens of articles <\/span><span style=\"font-weight: 400;\">that shed light on the <a href=\"https:\/\/american-reia.com\/insurance-news\/insurance-twisting-churning-and-sliding-how-to-not-let-cunning-agents-twist-you-around\/\">practices of insurance agents<\/a> and gain some first-hand experience with home insurance. This will give you the basis for making a more informed decision.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Without further ado, let\u2019s dig into what you should and shouldn\u2019t do when shopping for home insurance.<\/span><\/p>\n<h2><b>Do\u2019s<\/b><\/h2>\n<h3><b>1. Learn Your Policy Through and Though<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">While 85% of homeowners have their dwellings insured,<\/span> <span style=\"font-weight: 400;\">only half know<\/span><span style=\"font-weight: 400;\"> what their insurance plan covers and about 20% never review their policies. This is, of course, unacceptable if you intend to protect your investment.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The two simplest tips would be to:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\">Know what is covered and how much coverage you have. A typical policy provides coverage to replace or repair your home and its contents in the event of damage caused by fire, lightning, hail, wind, vandalism, smoke, theft, etc. But it doesn\u2019t mean that your policy is typical \u2013 make sure to find out what\u2019s covered and to what extent it is covered.<\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\">Know the exclusions. Negligence, intentional damage, expensive possessions, and other losses may not be covered. Make sure you are aware of exclusions in your policy.<\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">The better you know your insurance plan before purchasing a policy, the greater the chance you will be satisfied with your policy.<\/span><\/p>\n<h3><b>2. Record Your Belongings<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">In the event of a total loss, you will have to provide proof of your possessions for which you\u2019d like to be reimbursed. This would only be possible if you have a recorded list of belongings, including receipts and other ways to confirm your purchases. Having a record of your belongings would simplify the claims process and estimate how much your home and possessions are worth.<\/span><\/p>\n<h3><b>3. Get the Best Deal by Doing the Following<\/b><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\">Take your time shopping around. Don\u2019t jump on the bandwagon of famous providers \u2013 there may be<a href=\"https:\/\/www.forbes.com\/advisor\/homeowners-insurance\/best-homeowners-insurance-companies\/\"> more suitable options<\/a> out there.<\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\">Explore bonuses. Among the bonuses offered are discounts for installing safety and security systems on your home, bundling home and auto insurance policies, buying a few policies from the same provider, staying with the same insurer, and more. You have different ways to save a fair chunk of money as long as you\u2019re patient enough to explore.<\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\">Pay with your premium and deductible. The higher the deductible, the lower the premium, and vice versa. Make sure to set up a configuration that would account for your needs, budget, and risk tolerance.<\/li>\n<\/ul>\n<h2><b>Don\u2019ts<\/b><\/h2>\n<h3><b>1. Don\u2019t Save by Sacrificing Value<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">With the average price of a home being<\/span><a href=\"https:\/\/www.statista.com\/chart\/27405\/us-median-home-price-days-on-the-market\/\"> <span style=\"font-weight: 400;\">$429,000<\/span><\/a><span style=\"font-weight: 400;\"> in Q1 of 2022 in the US, there\u2019s always a lot of money at stake. So, instead of trying to find the cheapest insurance \u2013 which, truth be told, is rarely the best option \u2013 prioritise getting the coverage you need. Being underinsured can cost you thousands, if not dozens and hundreds of thousands, of dollars.<\/span><\/p>\n<h3><b>2. Don\u2019t Be Lazy and Record All Your Belongings<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">One of the most costly mistakes is not recording all your possessions because of laziness. When it comes to home insurance, it\u2019s better to be safe than sorry. Besides, you will be surprised by the accumulated total of your \u2018cheap\u2019 utensils, toiletries, bedding, etc. Always keep in mind that in the case of a total loss, you will have to pay for all unrecorded belongings out of your own pocket.<\/span><\/p>\n<h3><b>3. Don\u2019t Rely on a Home\u2019s Market Value as an Estimated Rebuild Cost<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">When <a href=\"https:\/\/www.thehouseshop.com\/buildings-insurance\">purchasing home insurance<\/a>, you will have to estimate your home\u2019s rebuild cost. Now, the instant reaction would be to establish it as at the original price of your home, but this wrong approach usually leads to over-insuring the property. More often than not, the rebuild cost is less than the home\u2019s market or sale value.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">To calculate the rebuild cost of your home, you can use an online calculator \u2013 there are plenty of ones on the web \u2013 taking into account your home\u2019s location, type, style, number of rooms\/garages\/etc., roof and wall type, and more details.<\/span><\/p>\n<p>Last but not least<span style=\"font-weight: 400;\">, do not hesitate to change your insurer if you\u2019re not satisfied with them. <\/span><span style=\"font-weight: 400;\">After all, home insurance is all about trial and error, just as life itself. <\/span><span style=\"font-weight: 400;\">As much as you think you\u2019re aware of the nuances, you might still need more than one try.<\/span><\/p>\n<h6><span style=\"color: #999999;\">Ref: THSI-2838 | ZD.24943<\/span><\/h6>\n","protected":false},"excerpt":{"rendered":"<p>With the average homeowner&#8217;s insurance premium continuing to rise and the likelihood of filing a claim at about 5% per year, buying home insurance is undoubtedly one of the most important decisions in your life. When shopping for home insurance,<span class=\"ellipsis\">&hellip;<\/span><\/p>\n<div class=\"read-more\"><a href=\"https:\/\/www.thehouseshop.com\/property-blog\/3-big-dos-and-donts-when-buying-home-insurance\/\">Read more &#8250;<\/a><\/div>\n<p><!-- end of .read-more --><\/p>\n","protected":false},"author":45,"featured_media":27573,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"wl_entities_gutenberg":"","_lmt_disableupdate":"no","_lmt_disable":"","spay_email":""},"categories":[1],"tags":[],"wl_entity_type":[602],"modified_by":"Editor","_wl_alt_label":[],"jetpack_featured_media_url":"https:\/\/www.thehouseshop.com\/property-blog\/wp-content\/uploads\/2022\/06\/dwelling-insurance-scaled-1.jpeg","wl:entity_url":"http:\/\/data.wordlift.io\/wl0502\/post\/3-big-dos-and-donts-when-buying-home-insurance-27569","_links":{"self":[{"href":"https:\/\/www.thehouseshop.com\/property-blog\/wp-json\/wp\/v2\/posts\/27569"}],"collection":[{"href":"https:\/\/www.thehouseshop.com\/property-blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.thehouseshop.com\/property-blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.thehouseshop.com\/property-blog\/wp-json\/wp\/v2\/users\/45"}],"replies":[{"embeddable":true,"href":"https:\/\/www.thehouseshop.com\/property-blog\/wp-json\/wp\/v2\/comments?post=27569"}],"version-history":[{"count":2,"href":"https:\/\/www.thehouseshop.com\/property-blog\/wp-json\/wp\/v2\/posts\/27569\/revisions"}],"predecessor-version":[{"id":27571,"href":"https:\/\/www.thehouseshop.com\/property-blog\/wp-json\/wp\/v2\/posts\/27569\/revisions\/27571"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.thehouseshop.com\/property-blog\/wp-json\/wp\/v2\/media\/27573"}],"wp:attachment":[{"href":"https:\/\/www.thehouseshop.com\/property-blog\/wp-json\/wp\/v2\/media?parent=27569"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.thehouseshop.com\/property-blog\/wp-json\/wp\/v2\/categories?post=27569"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.thehouseshop.com\/property-blog\/wp-json\/wp\/v2\/tags?post=27569"},{"taxonomy":"wl_entity_type","embeddable":true,"href":"https:\/\/www.thehouseshop.com\/property-blog\/wp-json\/wp\/v2\/wl_entity_type?post=27569"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}