You know you have to get some form of home insurance to protect your home, but there are so many options out there that you may feel overwhelmed. It is important to determine how much insurance you will need to adequately protect your home, property, and contents. Don’t forget the items inside your home either. Some basic insurance policies only include coverage for the property itself. It is ideal that you look for home and home insurance that covers everything, including walls, furniture, appliances, carpets, jewelry, electronics, etc.
At a minimum, make sure you get insurance that covers the property itself, contents, legal liability in case someone is injured on the property, and loss of use so you can pay for temporary housing while the house is being repaired. If you want money for the actual REPAIRS, you will need additional coverage, such as flood, fire, windstorm, etc. Depending on where you live, flood and hurricane insurance may be required anyway.
Think about how much it will cost to rebuild the house and how much money you will need to replace all the belongings you lost. Home and home insurance is designed to help you plan for the worst, whatever that may be. Don’t just consider the cost of rebuilding, you’ll also need to consider market fluctuations. Also, the value of many of your belongings is likely to decline over the years. If you have done any remodeling or added new features, that will affect the overall value of the home.
Home and home insurance for the worst case scenario
How much will it cost to rebuild and replace in the worst case? You may want to work this out with an agent, as well as the contractors who helped with the renovation.
Is a broader policy right for you, or do you want specific add-ons? Is there something you want to exclude? If you live in an area that experiences freezing temperatures during the winter months, you may want to consider a policy that includes pipe freeze protection. If you live in a valley and could lose your home to mudslides or have room damage from falling rocks, consider a policy that includes falling object protection.
As for the contents of the house itself, go from room to room taking inventory. In addition to estimating the costs of valuables like jewelry and electronics, you should also remember to include furniture, goods, appliances, wall art, etc.
Start looking at plans offered by companies like Lemonade. With its helpful tools, like an AI bot, you can get a home and home insurance quote in just 90 seconds. The lemonade discounts are among the best in the industry and the company is very transparent.