6 Simple Tips to Compare Home Insurance Policies
Every individual has a dream to buy a home. It is one of the largest investments in terms of value that most individuals ever make. Selecting a house is a tiring process. Looking for all the options, shortlisting them, arranging finances and finally making the deal.
Are you not going to insure this valuable investment of yours?
Why wait? Opt for a home insurance policy!
While most regard home insurance as an expenditure rather than investment, it nevertheless is a smart decision to buy one. After all, availing a financial cover against these unforeseeable perils is better than facing financial setbacks. A single insurance premium can be used to protect against damages to your home. An interesting benefit of buying home insurance is that your furnishings and other valuables can also be insured under the same policy. All you need to do is avail a policy that offers both under one plan.
Let us look at six tips that would help to select home insurance-
#1 Be informed of the maximum amount that can be claimed.
A householder policy includes coverage on the various valuables at your home. Although the coverage is provided for different items like electronics, furniture, jewellery, you must make a note of the sub-limits on each of these categories. In case the value of your product insured exceeds the upper limit as specified in the policy terms, your claim will be restricted to the maximum amount. In this case, you can opt for a policy to separately insure these household valuables.
#2 Take a note for the duration of travels under your policy terms.
If you are someone who travels often, you must enquire about the policy coverage when you are away from home. Some insurers demand a slightly higher premium if you are away from your home for more than two months. Also, there can be a risk of your policy getting void if you do not inform about this long travel to your insurance company. Make a note of this point before buying a home insurance policy. Also, set a reminder to ensure timely insurance renewal for availing continuous benefits
#3 Pest control protection
Home insurance plans do not cover damage from pests and termites. It is the responsibility of the homeowner to ensure timely check for pests and rodents. These damages are otherwise preventable if pest control activities are undertaken periodically.
#4 Pet lover? Check with your insurer
If you are someone who has a pet at home, you need to ensure whether the damages done by pets are covered under your home insurance policy. Different insurers have different terms which should be looked into before buying one.
#5 Coverage for specific perils
Some insurance policy provides limited coverage depending on the geographical location. For example, you reside in a flood-prone area, some insurers might either deny coverage from flood or may charge an extra premium to insure your home. These factors must be looked into before purchasing your home insurance to avoid any case of rejected claims.
#6 Check for policy wordings
While buying any insurance policy, you must look for policy wordings. This document clearly specifies any terms and conditions of your policy. Moreover, when a claim can be rejected is stated out under the exclusions section of your policy and should be thoroughly checked while buying one.
These are some nifty tips that will guide you in selecting a suitable home insurance policy. While comparing the various plans, you can take the help of a home insurance premium calculator that will help in making smarter choices based on the premiums and the features offered. After all, home is where your ultimate happiness lies.