Having the right homeowners' insurance policy in place can give you much-needed peace of mind. Specifically, a home insurance policy can provide you with coverage against storm damage, water damage, vandalism, and much more! Still, there are many common mistakes people make when purchasing home insurance coverage. By avoiding these mistakes, you can make sure you're properly covered and possibly even save some money along the way.
1. Assuming You Have Flood Coverage
One of the biggest mistakes homeowners tend to make when it comes to purchasing home insurance is assuming their standard home insurance policy includes coverage against flooding. While it's true that most home insurance policies do cover certain sources of water damage, this generally only refers to water damage caused by burst pipes and roofing leaks.
Flood damage protection, on the other hand, often requires you to purchase a separate type of coverage altogether. This is highly recommended if you live in an area where flooding is common (such as a designated floodplain).
2. Overlooking Potential Discounts
Nobody wants to pay more than they need to for their insurance coverage, but if you're not checking with your home insurance agent regularly for eligible discounts, you could be leaving money on the table. Some of the more common discounts offered by home insurance companies include those for installing a security/alarm system and those for having multiple policies (such as home and auto) combined under the same account.
3. Waiting to File a Claim
In the event that you need to file a claim with your home insurance company, do so as soon as possible. For example, if you experience roof damage as a result of a hail or wind storm, you'll want to call your home insurance agent right away to begin the claim process. Otherwise, you could be denied for waiting too long.
4. Choosing a Too-High Deductible
The deductible on your home insurance policy is the amount you'll pay out-of-pocket before your coverage kicks in and pays the rest. The higher your deductible, the lower your monthly payment will be (and vice versa). However, make sure that you're able to comfortably afford your deductible in the event that a covered incident occurs on your property.
These are just a few of the most common mistakes you'll want to avoid when choosing a home insurance policy. By doing so, you can enjoy maximum coverage and peace of mind as a homeowner! For more information, contact a company like Family Insurance Centers.