10 Questions To Ask About Home Insurance

I have 10 great questions you should consider asking your insurance agent about homeowners insurance. Some of these may seem obvious, but this is a great time to review your coverage and make sure you have exactly what you need.

I’ve consulted with a few different agents who represent different insurance carriers, and you should check with your current insurance agent to see how your coverage and their advice matches the suggestions I have for you here.

Please call or email me today if you, or someone you know is thinking about buying or selling real estate in the Boulder area. We need to talk about your needs to be sure you get straight answers, and great real estate representation to keep you on track with your goals.

Here’s the top 10 Insurance Questions:

1. Are all of my personal belongings covered?

Your personal property should be covered for its full replacement value.

It’s always good to know your coverage limits for theft and loss of personal property, and to obtain coverage for their full replacement value. Your insurance agent can also make sure special items such as engagement rings, firearms, those expensive road bikes (we’re talking bicycles here) or coin collections are insured.

2. Does my policy offer mortgage payment protection?

3. Is there a discount for protective devices such as security systems?

Smoke and fire alarms, or fire suppression systems may also qualify you for a discount.

4. Do you offer a new home or renovation discount?

5. How much will a higher deductible save me every year?

A higher deductible could mean a lower premium.

Usually, deductibles are quoted at somewhere around $500. You might want to consider getting a quote for a $1,000 deductible to see how it affects your premium. Also, ask your insurance agent if there’s a separate deductible for wind and hail damage. I know one person in my community that has a $5,000 deductible. He considers that a reasonable risk and it saves him a few hundred dollars each year, but be careful; there may be some requirements from your lender outlined in the paperwork you signed when you bought your house. Be sure to check that and comply with your lender’s requirements.

6. Is there a local claims department?

7. Will you make sure that my coverage grows with the value of my home?

8. If you insure my home, will I get a discount on auto insurance if I also insure my car(s) with you?

Many insurance companies will offer this kind of discount.

9. If I had a total loss, would my coverage be enough to rebuild and replace my belongings?

10. Do I need flood insurance?

Even if you don’t have to have flood coverage, sump pump failure coverage might come in handy.

If we have a big storm and you lose your electricity for an extended period of time, your sump pump will likely not operate. Make sure that your policy has sewer back-up and sump pump failure coverage if you think this might be a problem in your home.

If you are considering a move, or have more questions about real estate, please call or email me now so we can talk more about your needs. I may be able to help you get some straight answers today.
-Zachary Epps, full-time professional Realtor® and EcoBroker®

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