Mortgage lenders require homeowners to carry homeowners insurance. Just as most states require car owners to have insurance. Not only is it for your own protection, but one of the big ones for the lender is that in the case of a catastrophe, your lender will want your home rebuilt.
With proper coverages through your insurer, you will be protected against foreclosure after a hurricane, earthquake, tornado or other.
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Homeowner’s insurance policies are comprised of six types of coverage, generally. These six components are:
Your homeowner’s insurance policy may include some, or all, of these pieces. Per usual, the more coverage you keep, the higher your annual premium, but well worth the extra money spent.
There are ways to save money on your policy as homeowners insurance can be a very expensive proposition, but it is essential.
Luckily there are several ways to reduce your homeowners’ insurance cost.
Another way to save is to raise your deductible; the higher your deductible the lower your annual premium.
Another tip is to look for multi-policy discounts. Many insurance companies give 10% or more if you have additional policies with them.
Did you know if you pay off your mortgage your home insurance will go down? Insurers assume that since you have paid off your home that you will take better care of it.
Senior discounts are also eligible, these are sometimes called senior discounts, age preference policies, mature policy discounts, so if you are over the age of 50, it might be worth asking if you qualify.
Finally, it is always a good idea to verify that you have all of the coverage you need, review your existing policy and assure that you have all of the coverage you need.
Homeowners insurance, like mortgage rates, varies between companies. Be sure to comparison shop for the best rates and programs which meet your household needs.
The Certo Team
55 N. Arizona Place Suite #103
Chandler, AZ 85225
602-429-6789