Replacement Cost -
Using the tools provided by the industry a replacement cost estimator should be done to determine the replacement cost of your home, to choose the amount of coverage needed in your homeowners' insurance policy.
One should be done every three years to make sure the dwelling amount is correct.
Replacement cost is determined by the square footage of the living space in your home along with the current building cost in the area.
It is important to notify your company of any additions or renovations that have increased your living space.
Replacement cost is the cost to rebuild the home; it does not include land value.
Personal Liability –
Personal liability coverage is included on your homeowners’ insurance policy. We recommend a minimum of $500,000. The cost is minimal.
Higher Deductibles Save Money –
Spending your insurance dollar wisely should include increasing your homeowners deductible to $1,000. There is a substantial premium savings; more importantly; it is not advisable to put in a claim for under $1,000. A loss under $1,000 takes away your loss free credit for 5 years; it may also put you in a less competitive program.
Account Credits –
If you do not currently have your automobile and homeowners insurance policies with the same insurance company, you are not taking advantage of a 30% account credit on your homeowners’ policy and a 10% credit on your automobile policy.
Insurance Score –
Insurance companies are now using an “insurance score” in underwriting and placing your coverage. Your insurance score is important in determining what credits are given, what tier (premium group) your policy is placed, and whether or not coverage will even be offered by the company. The insurance score is a combination of late payments, credit score, claims, driving record, and, also, additional company specific underwriting factors.
Payment Fee - Electronic Funds Transfer - Paid In Full Discounts -
(Billing fees vary. )
$5.00 for a monthly paper billing
$2.00 - $5.00 monthly e-bill
$0.00 - $1.00 for electronic transfer
5% discount on your premium if paid in full offered by some companies
Homeowners Insurance Supplement Coverage Options
The following coverage can be added to your homeowners’ insurance policy:
Earthquake - Excluded from standard policy. Available on request.
Escaped Liquid Fuel - Property, and Increased Liability coverage for oil spill available. Oil spills can run into thousands of dollars when the EPA is involved. A certificate of compliance is needed to add coverage. Your oil company can provide one.
In Home Business - Important coverage for incidental business done in your home; coverage available for both business property and liability.
Ordinance or Law -Coverage on rebuilding to comply with updated building code. This coverage is important for older homes.
Assisted Living - Provides certain limited coverage to a relative who regularly resides in an Assisted Living care facility.
Jewelry/Fur/Fine Arts - Limited coverage included on standard policy. We highly recommend scheduling large pieces for more comprehensive coverage; including mysterious disappearance. Appraisals are needed for values over $5000
Water Back Up & Sump Pump Discharge or Overflow - Sewer backup and sump pump discharge or overflow can be added to your policy.
Mold - Limited coverage. Additional coverage available.
Trampoline - Some companies exclude coverage for trampolines. It is important for you to advise your insurer if you have a trampoline.
Alarm Credit – Smoke Detectors, Local Fire & Burglar Alarms, Central Station and Sprinkler Systems all qualify for a credit. Credit amount differs for type. A certificate from your alarm company is required.
Secondary Home Policy Compliance For your vacation home - Freezing of a plumbing , heating, air conditioning, sprinkler system, discharge, leakage or overflow from within the system, are only covered if reasonable care has been used to maintain the heat in the building, or, the water supply has been shut off and water drained from all systems and appliances. If there is an automatic sprinkler system water supply must be continued and heat must be maintained in the building for coverage to apply.