1. A higher deductible = lower premium
2. Carry a minimum of $500,000 personal liability. It’s cheap, and more importantly this coverage can protect your assets in the event of a lawsuit! (Even better, buy a personal umbrella policy. Avg. $150/year)
3. Know the replacement cost value of your home. Take a look at the coverage A amount on your policy. If you have had your policy for a while, it may be time to redo the replacement cost. It could be too high or too low.
4. Extra coverage. Policies should include the following endorsements: extended replacement cost on the dwelling, replacement cost on contents, identity theft, personal injury, refrigerated property, and water/sewer backup.
5. Valuable items must be specifically insured. Jewelry, artwork, collectibles and other items of higher value need to be insured either as a schedule on your current policy or on their own separate policy. A standard insurance policy will only give a limited amount of coverage for valuable items.
6. Who you gonna call? If you have a claim, do you know what to do next? Your agent can be your first call and should be your advocate throughout the whole claims process. You will also work with a claims adjuster from the insurance company.
7. Flood and earthquake coverage are not included. A flood policy is a separate policy and earthquake coverage can typically be included on your homeowners policy for an additional premium.