4 Mistakes to Avoid When Buying Home Insurance

By Alfred Ardis

If you are searching for a home insurance policy, you need to make sure you know exactly what you are doing. There are many things to know about the process, and there is ample opportunity for mistakes if you don't know what to ask for. Here are some mistakes you do not want to make:

Forgetting to Insure Your High Value Items

One of the biggest things that many people overlook when purchasing home insurance is covering their high value items. Many policies will cover your actual house structure as well as a certain percentage of your property like your furniture, clothing, and electronics. However, if you have items in your house that are extremely high in value, such as expensive furs or rare artwork, you may need to purchase additional coverage to ensure that these items are protected.

Not Choosing the Right Deductible

Some people often have difficulty when deciding on a deductible rate. There are pros and cons to both low and high rates. Lower deductibles often come at the expense of a larger premium, while the premiums on higher deductibles are less expensive. You will want to take special care before choosing a higher deductible. You could end up with nothing if you lose all of your possessions and can't afford to pay the high deductible.

Leaving Out Important Information

The insurance agent will often ask you many questions when they are writing your policy. They will need to know certain things about your property to determine how it should be covered. They may ask the breed of your dog, whether or not you have a swimming pool, or if you have a trampoline in your yard. All of these may seem like odd questions to you, but the insurer needs this information to determine your rate. Not providing accurate information could lead to the cancellation of your policy.

Not Adding Enough Add-On Protection

Home insurance is designed to cover your house and possessions from fire damage, burglary, and wind damage. However, regular policies do not usually cover damage from flooding or earthquakes. If you live in a zone where these things are a possibility, you need to make sure you purchase add-on coverage in the event you lose your home to one of these catastrophic events.

When you are buying a home insurance policy, it is important that you know what all the process entails. Be sure you don't make any of these mistakes when choosing a policy. You want to make sure that you have enough if the unthinkable happens.

Bloomfield Hills residents in need of great home insurance turn to Phil Klein Insurance Group. Learn more at http://www.philkleininsurance.com/homeowners/default.aspx.

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