Whether you are a first time homeowner or an old hand at buying and selling houses, there are several things you should know about home insurance.
You are responsible for loss or damage to the property at the date of possession.
- You must read the policy clearly for your own protection and discuss it with your insurance agent or broker in case you have any doubt. While a personal home insurance policy may be considered to be "comprehensive", it does not cover all risks. You as the policy owner should study carefully the coverage which is clearly enumerated in the policy, and for those perils that are not included, you should discuss with the insurance agent about added coverage.
- If you plan to leave the premises vacant for more than 30 days, the insurance company must be advised, otherwise a claim could be denied.
- All policies contain deductibles. It may be possible to change the deductible amount by paying a higher or lower premium.
- Although policies normally cover personal liability for negligent acts of the policy holder as well as immediate family members living in the same house, any third party (the person who is injured or whose property is damaged) must prove negligence before the claim will be paid.
- Review the value of the contents of your home periodically. Do not judge the policy by the price you pay; judge it by the coverage it provides