If you’re home is being financed then your lender requires that you purchase homeowner’s insurance. But did you know that virtually all homeowner’s who own their homes free and clear continue paying for homeowner’s insurance?
People who own their own home recognize the tremendous value that their home represents and they – rightly – want to protect it. The good news is that there are several simple things that almost any homeowner can do that will lower the cost of their homeowner’s insurance almost instantly. Just be sure to let your agent know that you have done all or some of the following:
Let’s start with the basics. You want to insure your house for the full amount that it will take to rebuild it from the foundation up, and you want to include the cost of replacing all of your home’s contents – but you do not want to make the mistake of insuring the value of the land that your home sits on. The land is not going to be destroyed.
The number one homeowner’s insurance claim is not for fire damage, as many people think, but for the exact opposite – water damage. A broken water line or...