Carter's Insurance Agency
Who should buy home insurance?
Owners: To protect both your house and personal property.
Tenants: To protect your personal property.
Everyone: Protection against liability for accidents that injure other people or damage their property.
How much home insurance do I need?
Asset Protection: More coverage generally means you will have less to pay out of your own pocket if disaster strikes. You must determine the amount you can financially afford to lose. Depending upon your determination, more insurance may be the answer. You need enough liability coverage to protect yourself from lawsuits resulting from your possible negligence.
Lender Requirements: Your lender may require you to cover the house for at least the amount of the mortgage. You are not required to purchase insurance from the insurer recommended by your lender.
Policy Requirements: Insurers may impose some conditions for replacement cost protection, including insurance of the property to value.
What affects home insurance prices?
Type of Construction: Frame houses usually cost more to insure than brick.
Age of House: New homes may qualify for discounts. Some insurance companies offer limited coverage or may not insure older homes.
Local Fire Protection: The number of fire hydrants and fire departments and the availability of water are some factors that determine your area's fire protection class. If you reside in an area without fire protection, you will pay more for fire insurance.
What's a peril?
A peril is a condition that can cause a loss. Three examples are fire, windstorm, and theft.
What deductible should I choose?
The deductible applies only to the coverages on your house and personal property. It is the amount you have to pay out of your pocket on each claim. You can collect on your insurance policy once the deductible amount is exceeded. A policy with a $100 deductible will cost more than one with a $250 deductible. Higher deductible also will result generally in fewer claims, at a time when insurers are nonrenewing if the number of claims is considered "excessive."
What does property damage cover?
Property damage coverage helps repair your home and personal property when damaged by such perils as fire, lightning, windstorm or hail. Flood insurance must be purchased separately. You should carefully read your policy before you have a loss to determine exactly what types of losses will be covered.
What does personal property insurance coverage include?
In general, the contents of your home and other personal belongings owned by you or family members who live with you are covered under the policy. However, high-valued personal property such as jewelry and cameras should be listed on the policy so that you are adequately protected.
What is personal liability insurance coverage?
Personal liability coverage protects you and all family members who live with you against a claim or lawsuit resulting from (non-auto and non-business) bodily injury or property damage to others and for which you become legally obligated to pay. Defense costs are included, but the insurance company has no duty to defend you after the limit of liability on the policy has been exhausted.
What does medical payments insurance cover?
Regardless of fault, this coverage pays the reasonable expenses for others accidentally injured on your premises or the areas immediately adjoining your property such as sidewalks or alleys. Medical payments coverage does not apply to your own injuries or those of family members living with you or injuries arising out of activities involving a business that you operate out of your home, your intentional acts, or rental use of your premises.
What is replacement cost?
Replacement cost is the amount necessary to replace or rebuild your home or repair damages with materials of similar kind and quality without deducting for depreciation.
What is actual cash value?
Actual cash value usually means amount needed at the time of the loss to repair or replace the property destroyed, less depreciation. Most standard home insurance policies cover the contents of your home (i.e., personal belongings) on an actual cash value basis, but it is possible to purchase replacement cost coverage.
How can I get a lower premium?
Strongly consider a higher deductible so you can cut your premium. In the current insurance market, don't tempt yourself with the possibility of a small claim, considering that many insurers now refuse to renew polices with a claim history and refuse to accept new customers with prior claims. View your homeowners insurance as catastrophic coverage only, and set aside your premium savings to cover minor repairs. Let us give you a price quote for home and auto insurance with the same carrier. Often times you can save significant dollars by having both your home and auto insurance with the same carrier.
Homeowner insurance policies do not offer protection against flood losses.
Flood insurance is available through the federal government's National Flood Insurance Program. If you are in a flood area let us give you a quote for Flood Insurance.