You are in the market to buy a new home. This is your first home, and you have no idea what you are doing, but you know you need home insurance. Keep reading to find five things you should know about home insurance.
Do your research before you buy
One of the most important things you should do is research the available home insurance options. The cost of home insurance varies between insurance companies. Researching the options can save you a lot of money.
Not everything is covered by home insurance.
Most people who buy home insurance think they are covered for anything that happens. Unfortunately, there are some things that most home insurance policies won’t cover. Some of the things that typically aren’t covered include:
- Regular wear and tear
If you want protection from flooding and earthquakes, you must get separate insurance covering those.
Basic coverage options available
A few basic coverage options are similar across most insurance companies. These coverage options include:
- Dwelling coverage
- Other structures coverage
- Bodily injury liability
- Property damage liability
- Personal belongings coverage
- Loss of use coverage
Check with your insurance company to see what types of home insurance coverage are offered just to be sure.
Actual cash value vs. replacement cost
It is important to know what each of these terms means because they are very different from each other. The actual cash value is the amount it would take to repair or rebuild your home after depreciation. The replacement cost is how much it would take to rebuild your home without considering depreciation.
Some insurance companies have discounts.
Every insurance company is different in what they have available for discounts. It is essential to check with your insurance company to find out what discounts they might have available. You might be able to save a little bit.
Contact Barry Insurance Group
If you are in the market for home insurance, stop by or contact us at Barry Insurance Group in Pearland, TX.