Many people acquire homeowners insurance without building up a true understanding of their coverage or the way the claims process works. They know that they're expected to have insurance, so they pay for it, but they don't have a true appreciation of its potential advantages. Without taking the time to educate yourself, you may begin to feel like money is being wasted.
You should work to avoid that feeling, and the best way to do so is by being informed. Below, you'll find a guide to some questions you should be sure to ask your homeowners insurance agent in order to better understand your coverage and feel more confident that you're getting maximum return on your investment.
Ask About Total Rebuild Cost
Starting with the worst possible scenario is a good way to establish expectations that you can then work back from. While it's unlikely that your home would suffer a catastrophic loss, it's still important to be prepared for that eventuality.
Asking your insurance agent about the cost to rebuild your home from scratch is a great way to get perspective on the value you're receiving from your insurance benefits. It can also perhaps clue you in to adjustments that you're able to make in your coverage, whether that's expanding your policy or trimming back areas you may not need.
Ask About Liability Protection
Home insurance doesn't merely act to protect your property in the event of a calamity. It can also act as an important shield if someone is injured in your home, hopefully indemnifying you from being personally responsible for serious injuries which may have expensive recovery periods.
Developing an understanding of your liability coverage will help guide your actions in the event that an unfortunate accident does occur in your home. It can also provide you with the confidence to enjoy more of your property, and even potentially add a recreation area like a swimming pool or some type of athletic field.
Ask About Disaster Insurance
Living in an area where you're at risk from natural disasters is largely unavoidable, but it's the unexpected disasters which hit people the hardest. Handling a flood or an earthquake when you didn't anticipate either happening can seem almost impossible, and you need to be sure that you have sufficient financial coverage to protect you if a disaster occurs. Your insurance agent can work with you to select an appropriate policy that will keep you covered, guaranteeing you remain safe and stable through even the rockiest waters.