As a homeowner, you likely feel as though there is a never ending list of things that require your attention – and, as soon as the end of that list comes into view, it will inevitably begin all over again. Some things will, of course, have to fall by the wayside – we only have a finite number of hours in the day, after all, and doing everything is rarely possible.
One thing that cannot fall by the wayside, however, is taking the time to review and update your homeowner’s insurance policy. Doing so will afford you the peace of mind that only comes from knowing that you are protected against some of the most costly and tumultuous events that impact thousands of homeowners each and every year.
So, whether your policy is still relatively new, or you’ve let it lie dormant for the past few years, read more about the biggest signs that you need to update your homeowner’s insurance policy, below.
1. Identifying Areas Where it is Falling Short Proves to be an Uphill Battle
Before we get into the specifics of why you might need to consider revising, adapting, or overhauling your homeowner’s insurance policy, we should address the elephant in the room. That is, if you are struggling to fathom your own policy, and find that you are stuck in a frustrating and puzzling cycle of running up against a brick wall, it’s probably high time that you began pursuing new and more user-friendly avenues.
Homeowners insurance is there to provide all the necessary reassurances against the possibilities that keep you up at night, not to add further confusion. Fortunately, home insurance quotes aren’t just for new homeowners – they’re for anyone who feels the time has come to update their policy, and get a handle on their personal admin. Whether you’re disappointed with the customer service available, or feel that you are paying over the odds, getting proactive and changing to a new insurer could be the best decision you make all year.
2. Your Dwelling Simply isn’t Covered…
Significant changes to your home, such as an expansion or, more drastically, adding a new floor, will alter the hypothetical cost of building your home from scratch. This is not to be confused with increasing the resale value of your home, which will be a different number entirely to the increase in rebuild cost.
If you make additions to your home, then the rebuild costs provided under your existing homeowner’s insurance policy will prove insufficient should the worst happen, so you should speak with your provider sooner rather than later.
3. …And Neither is Your Personal Property
If certain, high value items come into your possession after your homeowner’s insurance policy has been agreed upon, then it is unlikely that these items – whether jewellery or art, for instance – will be covered.
Say, for instance, that you get engaged. That glittering diamond ring on your finger probably cost much more than your average bauble or trinket, and that means that you will want to ensure its value is protected against all the usual worst case scenarios, from theft and loss to repairable – or irreparable – damage.
For these high value items, pre-existing coverage won’t be enough – and your biggest mistake could prove to be believing that they are. Additional coverage can be added onto your existing homeowner’s insurance, and you should make sure you are pursuing this as soon as possible to avoid a significant loss on your part.
There are plenty of reasons why you might need to revisit the paperwork and review your homeowner’s insurance policy once again. Perhaps you think you are paying too much, or you are confused over what eventualities are actually covered – for instance, whether or not your particular dog could make you liable for damages if they bite someone on your property.
Even if you don’t have any pressing reason to check in with your policy, it is recommended that you revisit and review it every two to three years. Remember that homeowner’s insurance protects us from some of the most devastating eventualities imaginable, from burglary to natural disasters. In an ideal world, of course, we would all be much more fluent in the specifics of our policies, but it can be incredibly difficult to spare the time.
Overhauling your homeowner’s insurance could be as simple as adding a few new features that reflect the current state of your home and possessions, or switching to a brand new insurer better equipped to protect modern homeowners. Either way, it is a necessary rite of passage for any homeowner, and must not be overlooked any longer.