While taking out mortgage loans, most lenders will demand that you purchase a home insurance policy. Assuming you already adhered to this requirement, you should now embark on reviewing your insurance policy anytime you make changes either to your home or lifestyle.
Failure to review your home insurance plan regularly means you are underinsured — something that would see you bearing bitter consequences should anything happen to your home.
Partners Insurance & Financial Services Inc. recommends that you update/review the home insurance policy if you did the following.
Whether you’ve added master bedrooms, have updated your 1920s-era kitchen, or undertook any other significant remodeling job, it’s advisable to consult with your homeowner insurer.
This proactiveness is extremely important because such an action will, in most cases, impact your home’s value.
You bought valuable items
Since your home insurance protects your home and its content, it’s wise to talk to your insurer whenever you introduce expensive items. This action will help ensure you have the right coverage, and you’ll receive sufficient compensation in case of unforeseen vagaries.
You installed an alarm system
Installing an alarm system in your home comes with a sense of added security. It reduces the possibility of thieves breaking into your home and stealing your valuables.
Experts advise you to speak to your home insurance provider whenever you make such moves as it impacts your premium.
You’ve stopped smoking
Abandoning your smoking habit is with no doubt an excellent move as far as your health is concerned. But did you know it can help to cut down on your home insurance payments? Most insurers claim that smoking poses fire risks to your home.
By quitting the habit, you might be eligible for reduced premiums — you must, however, notify the insurer.
The Bottom Line
The four scenarios we have highlighted here represent a fraction of common signs that it’s time to update/review a home insurance cover. We at Partners Insurance & Financial Services Inc. encourage you to contact us whenever you introduce any changes to your home. We evaluate the changes and see how they impact your insurance policy payments.