Did you remodel your kitchen this year? Has your family adopted a large dog from the pound? Within a year, many things could change and end up affecting your insurance coverage. Homeowner insurance coverage is tricky because your insurance premium could change with the smallest adjustment. That is why we encourage our clients to schedule an annual appointment with their homeowner insurance agent to ensure that no policy details have changed within the last year. By doing this, you can ensure that when you are stuck between a rock and a hard place, your insurance covers you and meets your needs.
Home Improvements
One major area of caution is home renovation. If you have upgraded your home in any way by adding a pool, adding on to the garage, replaced your roof or built an additional bathroom, then it is definitely in your best interest to speak with your insurance agent. You find that you need more coverage, which could mean paying a higher premium. If you don't inform your agent of the upgrades and home renovations that you have made, and your property is damage or a total loss, then you may have to rebuild without the additional upgrades you had before. It is absolutely vital that your insurance is informed of these changes and is aware of the increased value of your home. This way you can ensure that your home improvements will be covered by insurance if they are ever damaged in the future.
As a homeowner, you want to feel confident that you have a sufficient insurance plan to cover all of your needs in the event of property damage. Ask your insurance agent today to conduct a replacement cost estimator so that you can be sure that you have purchased the proper amount of coverage for your home. Now this may scare some people, because price is sometimes a determining factor. That is why you should have open communication with your insurance agent and ask if they have any discounts or offers in regards to your home improvements. Sometime you are able to get more coverage for less, as certain home renovations reduce the risks of future claims and could therefore reduce your premium. These are options to consider when renovating your home.
Living Situations
Another thing that could affect your homeowner insurance premium is a change in occupants in your property. If you have a second home that has been sitting vacant and you decide to rent it out, you should speak to your insurance agent about a proper insurance plan to cover any tenant damage or injuries sustained on the property. On the other hand, if your beach house rental has now become your primary place of residence and you are in retirement mode, which could actually lower your insurance premium. Contact your agent today and inform them that you are no longer renting the property and see how that can reduce your payments.
Many different events take place within a year's time and it is always better to be safe than sorry. You never know if a small and unrelated home improvement or alteration can affect your premium. Even little things like landscaping could make a difference. Yard improvements may not seem like an important insurance issue but it should still be addressed with your insurance agent. So ask yourself this, when is the last time you had a checkup with your homeowners insurance company? Call to schedule a meeting today and ensure that your coverage plan is sufficient for your home value and that all your needs will be met if your property is damaged and needs repair.