The Truth About Home Insurance

The Truth About Home Insurance

Home insurance is one of the most important investments when you’re a homeowner. This is your safety net. Without the right amount of Connecticut home insurance, you could lose a lot of money on your house. Knowing the myths can help you to learn what policies and how much insurance you need.

Home Insurance Is a Waste of Money

Home insurance is your safety net! You need to think about how much it could cost you if you have to rebuild your home. Accidents and natural disasters happen. You might not want to think about it, but having a lack of insurance is devastating.

Your Belongings Are Covered

Home insurance can protect your belongings. You do have to keep in mind, however, that some valuables might only have a small amount of insurance.

You Should Insure at Market Value

You do not insure for your home’s market value. Instead, you take every cost associated with the repair or rebuild of your home and you insure for those costs. Home insurance is crucial when you’re a homeowner. To find the right policies and to make sure that you aren’t underinsured it’s important to know the different myths about home insurance. You deserve to invest in Connecticut home insurance that you can trust.

What Is Cost of Replacement Insurance?

You may have Connecticut home insurance and assume that you are covered and have nothing to worry about. However, you may be surprised at what your insurance covers and what it doesn’t.

If you have a basic home insurance policy, in the event of a total loss in a home fire, you would receive a check for the value of your home. Unfortunately, that may not be the cost to rebuild your home. So, while the value of your home may be $200,000, the cost of building materials may have gone up, and it could cost $300,000 to rebuild. This could make it difficult to replace your home. However, if you have Replacement Cost coverage, your home will be rebuilt with the same quality materials it was built with initially, at no extra cost to you.

With a basic policy, all of your personal possessions would be lost as well, with no reimbursement from your insurance company. A Personal Property Replacement policy would ensure coverage for all of that as well, at a cost to you.

It is important to know that you and your home are covered in the event of an emergency. Don’t take the chance of getting taken by surprise. Connecticut home insurance can give you what you need to get back on your feet.