08.12.2020

Purchasing Homeowner's Insurance

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Choosing the right home and contents (meaning everything in your home) insurance involves more than simply valuing your assets and choosing the cheapest premium. Insurers design different insurance products to suit a broad customer base, so it’s important to make sure the insurance you buy covers those inclusions that are important to you. Here are tips from Michigan First Insurance Agency about things you’ll want to consider when shopping for your homeowners and contents insurance:

Know Your Limits

Insurance policies often have a cap on the number of valuable items are covered for. Items like jewelry may only be covered for a set amount – $5,000 for example. If you have specific assets worth more than the standard limits, then a capped policy won’t replace them. You should consider insuring these items separately or run the risk of not being able to have them replaced in the event a claim is made.

Going Out of Town?

Leaving your place vacated for an extended period of time may void your insurance policy. If you leave home for extended periods for work or vacation (usually more than about two months), it may be worthwhile to check the maximum term that applies to your insurer as you may require extra coverage.

Termite Damage

Damage from pests usually isn’t covered in your policy. Insurance companies see pest control as the homeowners’ responsibility in the normal upkeep of the building and view termite damage as a preventable event.

Flooding

Insurers are often quite restrictive on the type of flood damage they will cover, so make sure you understand if a policy covers flooding, and how flooding has been defined. If you live in an area that has a history of flooding, you might not be able to get flood coverage. However, it’s still worth asking as there are some policies that may cover flood damage. You might have to pay a bit extra to be covered.

Work from Home?

If you have a designated space for working from home, you will need to have a separate business insurance policy to cover you for any damages that may occur to your home office.

Got Pets?

Not all policies cover property damage done by pets. If you have pets, it’s important to find out if your insurer will replace that chewed up couch. Incidentally, some insurers also offer pet insurance, which may come in handy if your old furry friend needs a couple of knee replacements.

Read the Policy Document

This might seem straightforward enough, but a lot of people wait until an event occurs before they decide to look through their insurance policy – and then it’s too late if your policy doesn’t cover the event. If you’re especially worried about a particular incident, browse the policy before you purchase it so you have some peace of mind if that event does occur. Additionally, when you receive a renewal policy, make sure you review and understand any exclusions or changes to your policy.

For more ways to protect your home and a free, no-obligation quote, call Michigan First Insurance Agency at 844.788.0818. Many members are finding savings with us. If you have home and auto coverage, you may find additional savings! If we can’t save you money this time, call us at your next renewal as insurance rates frequently change.

*Average Savings figure is a national average savings number from the previous 12 months of auto, homeowner and packaged policy holders’ savings per customer when compared to the policyholders’ former premiums. Individual premiums and savings will vary.

Michigan First Insurance Agency, LLC is a subsidiary of Michigan First Credit Union. Business conducted with Michigan First Insurance Agency, LLC is separate and distinct from any business conducted with Michigan First Credit Union or Michigan First Mortgage. Insurance products are not issued by or guaranteed by Michigan First Credit Union or Michigan First Mortgage.

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