Home & Property Insurance

Homeowners insurance is an agreement between you and your insurer in which you pay the insurance company money (premium) and, in return, the company will help protect you from financial losses due to an occurrence for a given period of time. A homeowners insurance policy is a package of the following primary coverages.

Coverage A - Dwelling – pays to repair or rebuild your home if it is damaged by a covered peril such as fire, lightening, wind, hail or other peril listed in your policy. It will not pay for damage caused by flood, earthquake or routine wear and tear. It is important to buy a high enough limit (replacement cost) to rebuild your home.

Dwelling Extension or Additional Replacement Cost - is a recommended, low cost option which increases your overall dwelling coverage by 25% to 50%.

Water Backup – plugs a coverage gap for water which backs up through a sewer, drain or sump pump. This is recommended coverage for finished lower levels and basements.

Coverage B - Other Structures – pays to repair or rebuild detached structures such as a garage, shed or gazebo. Generally, other structures are automatically covered for 10% of the amount you have on your dwelling. Higher limits are available if needed.

Coverage C - Personal Property – Furniture, clothes, sports equipment and other personal items are covered if they are stolen or destroyed by fire, hurricane or other covered peril. Most policies provide a coverage limit for 50% to 70% of the amount of insurance you have on your dwelling. The best way to determine if this is enough coverage is to conduct a home inventory.

Personal Property Replacement Cost – is a recommended option which eliminates depreciation due to age or condition of personal property.

Certain classes of property – such as jewelry, furs and silverware are covered, but have dollar limits if stolen. To insure these items adequately, it is recommended you purchase a special personal property endorsement or floater and insure each item for it’s appraised value. The optional coverage includes “accidental disappearance” and there is no deductible.

Coverage D – Additional Living Expenses – pays the additional costs of living away from your home if you cannot live there due to damage from a covered peril. It covers hotel bills, restaurant meals and other expenses over and above your customary living expenses, incurred while your home is being repaired or rebuilt.

Coverage E – Liability – covers you against lawsuits for bodily injur or property damage that you or family members cause to other people. It also pays for damage or injury caused by your pets.

Coverage F – Medical Payments to Others – provides no fault medical coverage. In the event a visitor is injured on your property, medical bills can be paid without legal action against you.

Identity Fraud Expense – is a recommended option which helps a victim restore their good name and credit .

Homeowners Insurance Rates – are influenced by multiple factors such as age of home, claim history, location, credit score, policy limits and deductible. You can lower your homeowners insurance cost by electing a higher deductible. Discounts are also available when safety devices such as burglar, fire and smoke alarms are installed. A multi policy discount may apply if you have other policies with the same company.