Renewal Time? 6 Things to Consider When Reviewing Home Insurance

When you look at your home policy, you may feel overwhelmed by it. You have a right to think the wording is too much and should be simple. Buying insurance is not the most exciting experience in life, it is not like you gather the family around the table to do a quote or read the questions an insurance company is asking with enthusiasm…

…You just want to get through it!

  1. Reviewing with a broker…
    Reviewing your insurance needs once a year with your broker is a good idea. The industry is changing at a fast pace and new coverages could be available. You may have updated things in your home such as installing a new alarm system, renovations or upgrades to your roof, electrical, plumbing or heating systems. Any of these could make you eligible for a discount, lowering the cost of your insurance. Finding discounts is often easy for your broker, be sure to let them know as this would decrease your premium!
  1. Understanding replacement cost, actual cash value and rebuild value…
    Nuera policies offer replacement cost, which covers all costs associated with restoring lost or damaged property with no need to pay anything extra. Actual cash value covers your item (s) accounting for deprecation due to use. For example, replacement cost on a 5-year-old 80-inch TV would be replacing it with a similar model brand new. Rebuild value is based on a rebuild today in the event of a total loss. This amount does not include the land or any economic inflation of the property, this is often the most contested and misunderstood coverage on a home policy.
  1. The importance of your deductible…
    When do you pay it? How do you pay it? Do you pay prior to replacing your items?

    The deductible is the portion of the insurance claim you are responsible for. Having a deductible amount that you can pay if a claim happens is important, choosing a higher deductible may save you money. Nuera recommends $2500 as a deductible as it gives a discount and ensures you are using your insurance wisely.
  1. Making sure to inventory your belongings…
    An inventory of your belongings stored on the cloud could save you a lot of hassle should you experience any type of major loss. We suggest walking around your house and taking a video of your contents -make sure to include major appliances and electronics. In the event of a total loss due to fire or flood you can show the insurance company what was in your home. On expensive electronics, you should also take a picture of the serial number to show the model and ensure you get a similar one to replace it.
  1. Water coverage…
    Many of Nuera insurance’s home policies include policy limit for sewer backup and overland water coverage; this means the rebuild value of your home is covered. For example, if your home rebuild value is set at $500,000 you have water coverage for that full amount. Some insurance companies only offer a fraction of that. If you are shopping around, let one of our brokers review your renewal to ensure you have the proper water coverage. Included with our water coverage you have coverage for hail damage to your roof and siding as well as windstorm damage to your roof.
  1. When to review your coverage…
    The best time to review your coverage and make sure you are properly protected is when you get your renewal. You would normally get your renewal 30 days prior to the next term. This is a great opportunity to call one of our brokers for a review of your coverage and see if your renewal premium is competitive.

Considering insurance with us? Let us help you decide.

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