First-time home buyers might not realize how many different factors can influence Home insurance rates and coverage options. That’s why we’ve compiled this Homeowners insurance guide to help you make smarter insurance decisions.
Because of the added liability of owning a swimming pool or hot tub, many insurance companies require higher rates on homes with these features. Additionally, they may require additional safety measures including things like fencing and covers to ensure adequate protection. If you decide to buy a house with a pool, you might also want to explore raising your liability amount and/or purchasing umbrella insurance to protect yourself if someone gets hurt and sues.
Like swimming pools, having a wood-burning stove can increase your Home insurance rates. By providing proof that the stove meets code requirements, that a licensed contractor installed it, and that you have a smoke detector and fire extinguisher nearby, you may be able to lower your premium and/or better protect your home from the dangers of wood-burning stoves. You’ll also want to make sure you are staying on top of cleaning and maintenance, as this can help prevent fires.
Another important factor in your Homeowners insurance rate is the condition of your roof. That’s why you should pay extra attention to the roof’s condition and age when shopping for homes. Newer roofs can result in a lower premium than older roofs, as they’re less likely to get damaged, leak, or lead to potential insurance claims.
One aspect of your Homeowners insurance is your dwelling coverage, which covers the physical structure of your house in the event that it’s damaged by a covered peril. A home’s dwelling coverage is determined by the amount of money it would cost to do a full rebuild at the most current construction and labor prices.
Generally speaking, older homes tend to cost more to insure, as the materials and features are often more costly to repair or replace. Similarly, different building materials can affect the cost of your coverage. For example, brick homes tend to cost less to insure, as do homes made of fire-resistive materials.
In terms of location, there are several factors that can affect your insurance rates. Your proximity to a fire department and/or fire hydrant, for example, will affect your rates, as will your proximity to bodies of water and wildfire danger zones.
Want to learn more about Grange Insurance Association’s Homeowners insurance options? Contact a local independent agent today! In the meantime, browse our insurance blog where we cover a wide range of Home insurance topics, including loss of use coverage and scheduled and unscheduled personal property coverage.
The content available via Grange.com is for informational purposes only and may not be used for any other purpose. Content provided or expressed on Grange.com, including that of third parties, may not reflect Grange Insurance Association’s (GIA) policies or conform to any agreement you may have with GIA and its subsidiary companies. Please contact a licensed insurance agent to obtain particular advice.