Preparing for a big move? Before you close on your next home, you’ll want to make sure you have your homeowner’s insurance coverage all lined up. Not sure where to begin when it comes to finding the right coverage for your new home? Consider these tips to help you get started!
Get Insurance Quotes Before You Close
There are many factors that can affect the cost of your home insurance policy. Many of these influencing factors are directly related to the home you’re buying and its location. For example, a home with a reported history of home insurance claims for theft, vandalism, or flooding will have a higher premium. The age of the home and its major components can also factor into the cost of your coverage.
With all this in mind, it’s a good idea to get insurance quotes for your new home long before you close so there aren’t any surprises.
Make Sure You’re Covered for Total Replacement Cost
One of the biggest mistakes homeowners make when buying insurance coverage is failing to buy total replacement coverage; this refers to the amount that it would actually cost to completely rebuild your home in the event of a total loss. All too often, homeowners only purchase coverage for the approximate value of the home when they purchase it; in reality, it can cost significantly more to complete a total rebuild.
Not sure how much total replacement cost coverage you would need? Utilize the Douglas Residential Cost Guide Tool to help you figure it out!
Create an Inventory List While You Pack
Your home insurance policy will include coverage for your personal belongings so that they can be replaced if they are ever lost or damaged in a covered event. The best way to ensure that all of your possessions are properly covered is to create an inventory of all the items you own—which can be easily done while you pack everything up in preparation for your move.
For electronics and valuables, it’s a good idea to take pictures of these items, as well as any serial numbers that they may have.
Know What’s Covered During the Move
Not all home insurance policies include coverage for your possessions during your move but having this type of coverage can give you some much-needed protection and peace of mind. Check with your insurance company to see if this coverage is included or if you can purchase additional coverage while you’re on the move.
Shopping for home insurance may not be the most exciting part of buying a new home, but it’s important, nonetheless. Fortunately, with these tips, you’ll be on your way to securing the best policy for your needs!
