Questions to Ask Insurance Agents Before you Purchase Homeowners Insurance
By USInsurance.com Staff
We are so excited that you decided to purchase homeowners insurance. Just like you spent time researching your home before you purchased it; you will have to research reputable providers and insurance agents. USInsurance.com has prepared some common questions to ask your potential agent before you sign any paperwork.
1. What is covered under this plan? Make sure your agent explains – in detail – what is covered if an unforeseen event occurs. Oftentimes, floods, earthquakes and acts of war are not covered.
2. What items are limited in this coverage? Some providers not cover items of extraordinary value such as computers, guns, antique or expensive jewelry, money, etc. However, you can purchase an extension to a plan called a rider that offers higher levels of liability coverage. Address these needs to your agent.
3. Is mold, water damage, etc covered? These situations are generally only covered if they resulted from an event. Home repairs are generally something the homeowner is responsible for.
4. What are my premium/rates? What you will be paying from month-to-month is certainly important. Ask this after you inquire about rider policies to weigh-in the total cost.
5. How long is this policy good for? Is the policy good for five years, 10 years, 20 or more? Know the terms of the plan and how much it would cost to renew it.
6. What are the different homeowner insurance policies and which one is right for me? Homeowners insurance is generally HO-1 to HO-8, which covers specific situations (theft, fire) and types of homes (condos, rentals, etc). Tell your agent upfront about your specific needs and make sure they don’t push you into purchasing a plan you don’t need.
7. Can I change my policy if I need to? Down the line, you may need to rebuild your home or remodel or you may acquire more valuable items that you want protected. Ask if plans can be changed and when and how much this will cost you.
8. Tell me about your experience as an agent. You want to know that your policy is being taken care of by a reputable agent. Ask them about their experiences, education, etc.
9. Let’s go over the terms and contract together. Even if your agent was crystal clear; make sure that you understand every technical aspect of the insurance contract. This will also enable you to ask more questions (should they come up).
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