|
The Low-Down On Homeowner's And Renter's Insurance: An Insider's Advice
Author David Schneider | Dec 26,2007
|
Amongst all the commercials and advertising for homeowners and renters insurance, you are still left in the dark about the logistics of the insurance business. It can be very intimidating shopping around for an insurance agent and preparing yourself with what to expect. During the time of several natural disasters, homeowners and renters insurance is a necessity.
We took some time to answer those crucial questions. Artour Kagramanyan, a representative from All State in Los Angeles, was kind enough to walk us through these questions and lend some advice.
Homeowners Insurance
Q. Is homeowners insurance crucial if you own property?
A. I personally think it is. Also, it is required if you are paying a mortgage. It is a good idea to have some homeowners coverage, at least fire coverage.
Q. What does the insurance cover?
A. The dwelling, personal property, liability, medical and other structures on the premises, such as the garage, are the basic coverages.
Q. If I were shopping around for the right homeowners insurance package, what should I make sure is covered?
A. The most important is the dwelling and personal property.
Q. What should a first time buyer of homeowners insurance be warned about?
A. Make sure your policy has enough dwelling coverage to cover your home in full.
Q. What is one of the most common mistakes buyers make when purchasing insurance?
A. Most buyers are underinsured because they want to keep the cost of insurance low. That's not a good idea. Look at it this way, if your house is worth $500,000 and you pay $800 a year for homeowners insurance that only covers $300,000, and to cover it in full ($500,000) is $1,100 a year. Most people won't think to pay the extra $300 a year to have $200,000 more coverage. If the house burns down, they will lose $200,000 because they wanted to save $300.
Q. Do you recommend shopping around for different quotes?
A. Yes. Just make sure you are aware of what you are getting. Some insurance companies will tell you it's full insurance, but in actuality it is only fire.
Renters Insurance
Q. Do I really need renters insurance?
A. Yes, if you care about your personal property, renters insurance will cover in case of theft, fire and other accidents.
Q. Why would you suggest someone get renters insurance? Even if they are a college student?
A. People buy insurance in case of a loss. If you think losing your personal property is going to be a major financial loss to you, then you should get the insurance.
Q. What does renters insurance exactly cover?
A. Personal property and whatever you would like to include in your insurance policy can be covered.
Hopefully these questions will help you in your search for the right insurance. These questions are a perfect jumping off point for you to get acquainted with homeowners and renters insurance. If you need more information regarding homeowners and renters insurance, please feel free to visit the All State website at www.allstate.com |
|
|
Print
E-mail
Del.icio.us
Digg
