Homeowners Insurance

Homeowners insurance is one of the most common types of coverage among Americans. These policies, also known as home insurance, can provide a broad safety net to protect you from many common risks and exposures. However, while homeowners insurance may be a commonly purchased coverage, it can also be complicated. Your property and circumstances may be quite different from another policyholder. With that in mind, you should understand homeowners insurance to ensure you have optimal coverage.

Understanding the Different Types of Homeowners Insurance

Before you begin searching for homeowners insurance, you should first understand your options. Although the details of policies within these categories may vary, in general, most homeowners coverage can be classified as one of the following:

• HO-1 policies provide basic coverage for the structural elements of your home, such as its foundations and attached garages.
• HO-2 policies include coverage for the structure of your home, as well as its contents and, in some cases, personal liability.
• HO-3 policies are among the most common choices and include coverage for structures, contents, liability and temporary living expenses if your home becomes temporarily uninhabitable.
• HO-5 policies provide the same coverage as HO-3 coverage but may also help pay for others’ medical expenses and usually has higher limits.
• HO-6 policies are intended explicitly for condo owners and may cover the interior structure of their residence, as well as contents, liability and temporary living expenses.
• HO-7 policies provide coverage for mobile or manufactured homes and can help pay for losses related to structure, personal belongings, liability, additional living expenses and medical payments.
• HO-8 policies provide similar coverage as HO-5 insurance and may be a suitable option if your home is a historic landmark, has unique architectural elements or was constructed using methods and materials not commonly used anymore.

How to Find the Right Homeowners Insurance

You should treat your homeowners insurance policy the same way you would treat any purchase and be diligent in exploring your options. As you shop around for the right coverage, consider the following:

1. Assess your needs—Your first priority should be understanding your insurance needs. Consider the estimated cost of fully rebuilding your home and replacing essential possessions, as well as what type of plan you want to purchase.
2. Research costs—This entails acquiring multiple quotes from different insurance companies and gaining additional context by investigating average rates for similar homes in your area.
3. Get references—Many insurance companies receive ratings from third parties. Take advantage of these resources to learn about other customers’ satisfaction levels.

How to Get Discounts on Your Homeowners Insurance

There are many ways you may be able to earn lower rates on your homeowners insurance either before your coverage begins or upon renewal. Consider the following steps to ensure you are getting the best possible price on your policy:

1. Bundle—Purchasing multiple policies, such as home and auto, from the same insurer can earn you lower prices.
2. Improve security—Install safety features in your home, such as fire protection systems, security systems, smart smoke detectors and water leak sensors, to get potentially lower insurance rates.
3. Upgrade infrastructure—You may get lower premiums by improving the physical elements of your home, such as upgrading electrical, heating and plumbing systems, improving your roof or installing storm shutters.
4. Avoid claims—Most insurers offer discounts to homeowners who have not filed a claim after either three or five years.
5. Stay with the same provider—Many insurance companies offer loyalty discounts to long-term policyholders.

Get the Right Coverage

With over 40 years of experience serving the Jackson area, the staff of Paige Agency is well-equipped to help you understand homeowners insurance and acquire optimal coverage. Visit our website or call 601-572-8688 to get started today.

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.