Be certain to double check your policy and make sure you are covered adequately. You may have to purchase separate insurance for fire, flooding or other natural disasters.
You can keep costs down by evaluating the likelihood of each event and adjusting your deductible to reflect the risk. You can often get a discount for having storm shutters or smoke detectors.
Damage to your home could be minor enough to warrant a do-it-yourself fix rather than filing a claim and seeing your rates skyrocket. A little roof damage with no leaking or structural harm is often no reason for a whole new roof. You might be better served by climbing up and re-shingling the affected portion.
In the case of major damage or a whole home loss, make sure your policy covers emergency housing. A hotel is highly preferable to a shelter, especially if you have children.
Burglary and Theft
If someone breaks in and steals all of your electronics, your jewelry and your prized purebred cockatoo, you might not ever get back the sentiment of your lost property but you should be able to replace its monetary value.
The number one way to be sure you are adequately recompensed is to keep receipts for everything valuable that you purchase, snap a photo of it too, and keep both with a copy of your policy in a safe secure place.
For some items, the insurance will only pay for actual cash value, so consider getting replacement value insurance for items like expensive televisions or computers. Very high dollar items like a diamond ring may be subject to limitations unless you get a rider on your policy that covers that specific item. The insurance company will want an appraisal for riders.
You can usually get a discount on the personal property portion of your policy if you have a security system.
Accident Liability Coverage
If a guest in your home is hurt, the injured party can file a claim on your homeowners insurance policy. It is very, very important to have adequate liability insurance if you have children and their friends come over to play on a regular basis.
An umbrella policy will cover claims up to a million dollars, but be cautious about advertising the fact that you have high coverage; some people are unscrupulous enough to fake a fall if they think you are worth suing!
Umbrella policies are an especially important option if you have a dog, swimming pool, or trampoline in your yard that could pose a hazard to visitors.
Many Americans don't even know what they are covered for, and misconceptions abound. Making sure that you have sufficient coverage is just responsible!
Make sure you know what you are covered for and where you are vulnerable, and consider what homeowners insurance you should have to cover every eventuality.
