Homeowner's insurance
By: Melanie Barnas
Updated: June 24, 2008
Does it ever seem like owning your own home is more of a hassle than you could have ever imagined? The little things you have to prepare for or the extra money you have to spend on things like garbage pick-up, driveway sealing or even homeowners insurance.
One local insurance company explains the basics behind homeowners insurance and how to alleviate some home insurance costs as well as some tips to follow if you're looking to insure your home this year.
Steve Desino of Pinnacle Insurancesays it's important to understand exactly what your homeowner's insurance policy covers so if there were ever an emergency you would know where you stand.
"People tend to think that all homeowners policies are the same, but that's not true, says Desino. "The range of coverage's and benefits varies widely between companies and even between programs and for minor costs you can go from adequate or poor coverage to excellent coverage," he says.
He explains that a standard homeowners insurance policy includes coverage of your home, personal belongings, liability protection and additional living expenses. He warns that homeowners coverage never includes flood coverage and seldom water back up unless specifically added. Also, he says that when purchasing coverage for the structure of your home, it is important to buy enough to completely rebuild your home with all of its amenities.
"Homeowners insurance is critical to have," says Desino. "The problem is, only a select few know what they need as homeowners and what kind of coverage is necessary for their homes based on income, location and risks," he says.
He lists some things you should think about when insuring your home:
Don't confuse what you paid for your house with rebuilding costs:The land under your house isn't at risk from theft, windstorm, fire and the other perils covered in your homeowner's policy. So you do not need to include its value in deciding how much homeowners insurance to buy, instead you need to focus on what it would cost to rebuild your home if something happened to it. Sometimes the amount could be more or less than you paid for the house.
Raise your deductibles: Deductibles are the amount of money you have to pay toward a loss before your insurance company starts to pay a claim. The higher deductible you have, the more money you can save on your premiums. If you live in a disaster- prone area, your insurance policy may have a separate deductible for certain kinds of damage such as hail or wind storms.
When buying a home, consider the cost of homeowners insurance: You may want to put your insurance policy in your contract so that you can get acceptable insurance. Some insurance companies won't insure a house even if the previous owner had a large fire or water claim. They are concerned about the structure of the house and you may find that you cannot get good coverage at a fair price.
"You want to be sure that the insurance you have is suited best for you," says Desino. "You shouldn't be paying more than necessary but you should be getting the correct coverage for your lifestyle," he points out.
Pinnacle Insurance Agency, Inc specializes in Auto, Home, Life and Business insurance. They also concentrate on insurance for contractors, landlords and apartment complex owners. Pinnacle prides itself on its expertise and commitment to a high level of personal service to their clients. Their goal is to provide clients with the best possible comprehensive insurance protection. Pinnacle Insurance Agency, Inc employs 10 people and is located at 3259 Winton Road South in Henrietta and online at www.pinnacleinsurance.net
