Five things you should know about home insurance

When looking for home insurance, there are many things you need to know to get the right insurance plan for you. Below are five things you should know about home insurance.

Decide how much coverage you need.

The amount of coverage you need depends on various factors. If you live in an area with a higher risk of damage, you will need more coverage than if you live somewhere that doesn’t. A person with a bigger house and more assets will need more coverage than someone with a smaller house. A good rule of thumb to determine the amount of coverage you need is to multiply the square footage by the cost of the materials it would take to rebuild your home.

Insurance is required by your lender.

Unlike auto insurance, most states don’t require you to have insurance on your home. You will still need home insurance if you have a mortgage. Most lenders require a homeowner to have insurance before you can sign on for a loan.

There are discounts available if you ask.

If you ask around, many insurance companies have discounts available. The available discounts depend on the location of your home and many other variables.

Read your policy carefully.

Not all insurance policies are created the same. Ensuring your policy has the right coverage for your home is vital. You might find that some things you thought were covered are not covered by your insurance. Most insurance companies will not cover flooding, earthquakes, or storms. Unfortunately, if your home is in a place where there is a higher chance of flooding, you will need to get separate insurance for flooding.

Standard coverage available

Some standard home insurance coverage options include the following:

  • Dwelling coverage
  • Other structures coverage
  • Personal belongings coverage
  • Liability coverage
  • Loss of use coverage

Contact Com-Co Insurance Agency Inc.

For more information about home insurance, contact us or visit Com-Co Insurance Agency Inc in Mount Prospect, IL.