Is Your Homeowners Insurance Current?

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What is the zip code of the property? Is this home a new purchase? (purchased in the last 30 days or not yet purchased) Yes No Are you currently insured, or have you been insured in the last 30 days? Yes No

What is the zip code of the property? Is this home a new purchase? (purchased in the last 30 days or not yet purchased) Yes No Are you currently insured, or have you been insured in the last 30 days? Yes No

Residential coverage protects against damage or destruction of your house so in the event that your home is destroyed by a disaster such as a tornado or fire or any other loss that your policy covers, the insurance company will pay for repairs or completely replace your home.



It is vital to keep your homeowners insurance policy updated because the insurance company will only reimburse you for the insured amount of your home.



If your homeowners insurance was purchased over five years ago, the value of your home has probably increased since that time. However, without updating your policy to the current value of your home, the insurance company will pay only for the estimated loss as it was established when the policy was originally purchased. So if your home was insured for 0,000 and the value has risen to 0,000, the reimbursement amount paid by the insurance company would be short by 0,000.



Many homeowners that have to make a claim either do not have the proper homeowners insurance coverage or do not have enough coverage. Most good homeowners insurance policies today cover up to 120% of your dwelling coverage limit. But it is very important that you review the dwelling limit with your homeowners insurance agent at least every 2 years.  Also remember that flood insurance coverage is never part of standard homeowners insurance policy.  If you live in a flood prone area, you should seriously consider adding this coverage to your homeowners insurance policy.



If your homeowners insurance falls short, you may qualify for money from the Federal Emergency Management Agency (FEMA) or a disaster-assistance loan from the Small Business Administration (SBA). Homeowners can borrow up to 0,000 for rebuilding and ,000 to replace personal property at very low interest rates for up to 30 years.



Call your agent to see if your homeowners insurance policy is current because you want to be sure you will receive 100 percent of the replacement cost.  Don't make the mistake of forgetting to look over your policy from year to year because doing so could cost you much more in the event of a disaster striking.

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