Hazard Insurance

By
Real Estate Agent with The Allen Group

Hazard Insurance

Insurance is tricky, whether it's health, life, home, or car insurance.  Here's a few helpful hints from Natalie.  These are things I've learned along the way with my own home and in helping others obtain a good rate on their home insurance.

1.  Paint the picture of the house in a positive light.  If you don't know the age of something say "I don't know." Never say "I don't know.  It looks really old, but I think it works okay."  If you sound doubtful about the condition of the property, the insurance company will be hesitant to give you the coverage you need!

2.  Play up the positive.  If remodeling and replacements have occurred, definitely tell the insurance company.  They love to hear about new roofs.

3.  Tell the truth about your income, your habits, and your belongings.  You want to make sure you get the right amount of coverage for you.

4.  Get a security system.  If the house has one, great.  If not, no worries, when you close on the house, every big company in the country will call you to set-up service.

5.  Total replacement cost.  In most cases, you want your coverage to be total replacement on all aspects of the house.  If they say "cash value", say no thanks.  Total replacement means when a hail storm damages your roof, you get the whole roof replaced for free.

6.  Total replacement cost reduced.  Say you are buying your new house for $100,000.  The insurance agent will tell you that to totally rebuild the exact same house today would be $160,000.  Therefore they want to give you coverage for $160,000.  If you are okay with that premium, Great! If not, here's how you can save a little in your monthly payment.  Ask them to reduce that total replacement cost on the house as a whole.  Lower it halfway to $130,000.  Definitely keep it higher than your purchase price!!

7.  Deductible.  The lower your deductible, the less out of your pocket if you do need to make a clain in the future.  However, if you have a lot of cash, but want to save on your monthly payment, you can increase your deductible.  Just be aware that you will pay that deductible should something happen to your house. 

8.  You need an insurance agen you can trust.  Feel free to ask them questions.  Ask them their advice on what kinds of coverage you need and how much.  If you are unsure about a plan they quote to you, email it to me, and I'll take a look at it.

9.  Shop around.  You may us whomever you choose.  Here's my two favorites:

Michael Sohn, Liberty Mutual, 405.720.6083 ext 219
Todd Wallace, Farmers, 405.879.9899

Comments (0)

Anonymous
davincharlie

Thank you for the providing good information. I will also suggest to consider buying an auto insurance for your car as it has become invitable to buy auto insurance these days. I found a good place that helped me find an increadible rate http://www.carinsuranceassistant.com/inex.php?id=New+Car

they give you the best rates from lots of locals providers

 

Oct 21, 2008 05:42 PM
#1