The home insurance policy is one of the most misunderstood policies that an individual can purchase. Home insurance is also heavily regulated and debated in the halls of Government. Every time there is a disaster of some sort or a major trend (remember all the mold lawsuits from the early 2000's?) - there are modifications and updates to standard policy forms.
We have 25 combined years of experience in our office that will help you determine the correct combination of coverage for your unique situation.
With all the above - really, the ultimate purpose of homeowners insurance is to rebuild and recover from an incident, even in the event of total destruction. The concept is to get you back to where you belong.
A good homeowners insurance policy will cover:
- Your residence- usually with optional extensions of coverage in case of total loss
- Any detached structures, like garages or garden sheds (This can include a pool)
- Your "personal property" - and can be modified to guaranteed replacement cost
- Additional Living Expenses - including renting an apartment or hotel room
- Personal liability- such as slip and fall and can also be expanded to include "personal injury"
- Medical Payments Coverage - such as expenses to others who may be injured on your property
The amazing thing is that most reputable companies include all of the above in a standard home insurance policy - but there are several out there that will present "cheaper" policies in order to appear price competitive. Beware - guaranteed replacement cost and personal injury protection are often omitted in cut-rate quotes!
We also make sure you know about limitations and exclusions. Earthquakes, landslides and floods are the most common things excluded from the home insurance policy but may be purchased separately.
Other items such as jewelry, coins and collectible items have limitations in the policy but can be added by providing appraisals and paying a small additional premium.
Discounts are available for newer homes, central station alarm systems, marital status, newly purchased home, roof type, sprinklers and higher deductibles. (And - multiple policies!!!)
What about those OUTRAGEOUS replacement costs?
Enter California again - recently, they mandated a standardized replacement cost calculation. When you buy home insurance - you have a right to a copy of the replacement cost estimator upon which the limit of coverage was based. Check the Park Family Insurance Blog for more information as it updates.
It is common in today's real estate market to see homes insured for more than they sell for. We will still get you the best deal we can - but we have to abide by the regulations to make sure your home is properly insured.