Pay Less on Renters & Homeowners Insurance
Moving to your own place is exciting, you’ve paid your security deposit if you’re renting or down payment if you’re buying set up all your utilities and ready to move all those boxes in and set up the place you plan on living. The only other thing to do is to pay a few hundred dollars for something nobody likes to pay…insurance.
You’ll Learn
- Your options and policy coverage for renters and homeowners insurance
- How to read each bill
- How to save money on renters and homeowners insurance
Types of Coverages
HO-2
In this type of policy, only the most basic things are covered such as theft, vandalism, wind, fire and lightning, and weight of ice, snow or sleet.
HO-3
It covers the cost of your things if they were to be stolen or destroyed. Some exclusions apply such as an earthquake, floods, terrorism, or nuclear accidents are not covered.
HO-4
Also known as renters insurance. It covers all of your personal property in an apartment or rented house.
Coverage Types
Dwelling Protection
Helps cover the structure of the home in which you live, as well as other structures that are attached to it, such as a garage or a deck.
Other Structures Protection
Covers things part of the home that isn’t physically attached such as a detached garage, tool shed or fence.
Personal Property Protection
This provides coverage for the personal belongings you keep within it. You also have the option to cover certain items that are expensive such as rings and watches with extended coverage.
Liability
This protects you when someone not living with you is injured while on your property. This way you won’t have to pay the full price of medical expenses if you are found to be at fault for damages.
Your Policy Breakdown
Section 1
Section 1a: In the first section you should keep in mind you should carry enough insurance to cover the cost of rebuilding your home, not the market value of your house.
Section 1b: In the second part of the first section personal property is covered. Generally whatever structure cost you’re covered for half to 70% of that amount would be the amount of personal property coverage you have.
High-value property, such as jewelry, art, guns and coin collections, are usually limited up to $2,500 if your collections exceed this amount you may need higher coverage.
Section 1c: The 3rd part of section 1 covers the cost of living away from home if your home becomes unlivable.
Section 2
Liability
Most experts recommend at least having 3 hundred thousand dollars worth of liability coverage.
To help me deliver the best show possible
•Leave an honest review on iTunes, I read every one.
Here is a list of resources mentioned in this episode:
Average Renters and Homeowner Insurance State by State
Right-click here and choose “save as” to download this episode to your computer